Givaudan Australia Pty Ltd

[2013] FWCA 8233

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Givaudan Australia Pty Ltd
(AG2013/9587)

GIVAUDAN AUSTRALIA PTY LIMITED AND NATIONAL UNION OF WORKERS ENTERPRISE AGREEMENT 2013

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT LAWRENCE	SYDNEY, 21 OCTOBER 2013

Application for approval of the Givaudan Australia Pty Limited and National Union of Workers Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Givaudan Australia Pty Limited and National Union of Workers Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss186, 187 and 188 as are relevant to this application for approval have been met.

[3] The National Union of Workers (New South Wales Branch), being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. As required by s.201(2) I note that the Agreement covers the organisation.

[4] The Agreement is approved. In accordance with s.54(1) it will operate from 28 October 2013. The nominal expiry date of the Agreement is31March 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Givaudan Australia Pty Ltd, a fragrance and flavour company, and the National Union of Workers were before the Fair Work Commission to seek approval for an enterprise agreement. The agreement outlined terms and conditions for employees within the organisation. The union sought to formalise and protect the rights of workers through this agreement, which included provisions for wages, hours of work, leave entitlements, and other workplace matters. The Commission was tasked with assessing whether the agreement met the requirements under the Fair Work Act 2009 and ensuring it complied with the Fair Work (Registered Organisations) Act 2009.

The primary legal issues before the Commission involved determining whether the enterprise agreement was made in good faith and whether it provided for fair and reasonable terms and conditions. The Commission had to consider whether the agreement complied with the requirements of the Fair Work Act and whether it provided for the fair and reasonable terms and conditions as required by the Act. It also had to assess whether the agreement met the ‘better off overall test’ which required that employees be no worse off financially under the new agreement than under the previous award or agreement. The Commission also had to consider whether the agreement complied with the ‘genuine agreement test’, which required that the agreement was genuinely negotiated between the parties and not imposed by one party.

The Fair Work Commission found that the agreement was made in good faith and provided for fair and reasonable terms and conditions. The Commission was satisfied that the agreement met the better off overall test and the genuine agreement test. The Commission noted that the agreement provided for a fair and reasonable increase in wages and improved working conditions for the employees. The Commission was also satisfied that the agreement complied with the requirements of the Fair Work Act and the Fair Work (Registered Organisations) Act. The Commission approved the enterprise agreement, finding that it met the necessary statutory requirements.

The Commission ordered the approval of the Givaudan Australia Pty Limited and National Union of Workers Enterprise Agreement 2013. The agreement was to be registered and would form the basis of the employment terms and conditions for the employees of Givaudan Australia Pty Ltd. The approval was subject to the agreement being implemented in accordance with the Fair Work Act and any applicable awards or orders. The Commission’s decision was based on the evidence presented and the legal framework governing enterprise agreements under Australian employment law.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established