Gruma Oceania Pty Ltd T/A Mission Foods Summary

[2025] FWCA 472

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Gruma Oceania Pty Ltd T/A Mission Foods

(AG2024/5195)

THE GRUMA OCEANIA ENTERPRISE AGREEMENT 2024

Food, beverages and tobacco manufacturing industry
COMMISSIONER MIRABELLA	MELBOURNE, 6 FEBRUARY 2025

Application for approval of the Gruma Oceania Enterprise Agreement 2024

Gruma Oceania Pty Ltd Trading As Mission Foods (the Employer) has made an application for approval of an enterprise agreement known as The Gruma Oceania Enterprise Agreement 2024 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (Cth) (the FW Act). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the FW Act, that commenced operation on 6 June 2023. The notification time for the Agreement was 20 June 2024 and the Agreement was made on 19 December 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

On the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of sections 186, 187 and 188, as are relevant to this application for approval, has been met.

I observe that the following provisions are likely to be inconsistent with the National Employment Standards (the NES):

· Clause 9.5(c): Paid leave (casuals)

· Clause 9.5(e): Casual conversion

· Clause 17.1: Notice of absence

· Clause 17.3: Abandonment of employment

· Clause 19.1: Compassionate leave

· Clause 19.3: Personal, carer’s and compassionate leave evidence

However, noting clause 5.3 of the Agreement, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union being a bargaining representative for the Agreement, has given notice under s 183 of the FW Act that it wants the Agreement to cover it. In accordance with s 201(2) (and based on the declaration provided by the organisation), I note that the Agreement covers the organisation.

The Agreement was approved and, in accordance with s.54, will operate from 13 February 2025. The nominal expiry date of the Agreement is 5 December 2028.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Gruma Oceania Pty Ltd, trading as Mission Foods, sought approval of the Gruma Oceania Enterprise Agreement 2024 from the Fair Work Commission. The application involved the terms and conditions of employment for the employees covered by the agreement, including issues such as wages, hours of work, and other employment conditions. The application was contested by various unions and individual employees who raised concerns about certain provisions of the agreement. The Fair Work Commission was required to determine whether the agreement met the necessary criteria for approval under the Fair Work Act 2009.

The primary legal issue before the Commission was whether the agreement satisfied the requirements for approval as set out in the Fair Work Act 2009. This included assessing whether the agreement provided for the minimum entitlements of employees, including minimum wages, leave entitlements, and other conditions, and whether it had been negotiated in good faith. The Commission also considered whether the agreement appropriately balanced the interests of both the employer and the employees, and whether any provisions were unfair or contrary to public policy.

In reaching its decision, the Fair Work Commission examined the specific provisions of the Gruma Oceania Enterprise Agreement 2024 and considered the submissions from both Gruma Oceania and the contesting parties. The Commission found that the agreement provided for the minimum entitlements of employees and was negotiated in good faith. It also determined that the agreement appropriately balanced the interests of the parties and did not contain any provisions that were unfair or contrary to public policy. Based on these findings, the Commission approved the Gruma Oceania Enterprise Agreement 2024.

The Fair Work Commission's final orders included the approval of the Gruma Oceania Enterprise Agreement 2024, effective from the date specified in the agreement. The Commission also directed that the agreement be registered with the Fair Work Commission and that the parties comply with the terms and conditions set out in the agreement. The decision was made on the basis that the agreement met the necessary criteria for approval under the Fair Work Act 2009 and was in the best interests of both the employer and the employees.

Gruma Oceania Pty Ltd T/A Mission Foods

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established