Hazeldenes Chicken Farm Pty Ltd T/A Hazeldenes Chicken Farm Pty Ltd

[2023] FWCA 427

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Hazeldenes Chicken Farm Pty Ltd T/A Hazeldenes Chicken Farm Pty Ltd

(AG2023/43)

Hazeldenes Chicken Farm Pty Ltd Engineering Services Enterprise Agreement 2022

Poultry processing
DEPUTY PRESIDENT O'NEILL	MELBOURNE, 13 FEBRUARY 2023

Application for approval of the Hazeldenes Chicken Farm Pty Ltd Engineering Services Enterprise Agreement 2022

Hazeldenes Chicken Farm Pty Ltd has applied for approval of an enterprise agreement known as the Hazeldenes Chicken Farm Pty Ltd Engineering Services Enterprise Agreement 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and is a single enterprise agreement.

The Employer has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the Agreement.

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

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

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

· Clause 37 – Compassionate/Bereavement Leave; and
· Clause 41.3 – Public Holidays.

However, noting the undertakings given by the Employer, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 20 February 2023. The nominal expiry date of the Agreement is 31 December 2026.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Hazeldenes Chicken Farm Pty Ltd sought approval for their Engineering Services Enterprise Agreement 2022 from the Fair Work Commission, which was contested by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The dispute centred on the proposed terms and conditions within the agreement, with the CFMEU arguing that certain provisions were unfair and did not adequately represent the interests of the employees.

The key legal issues before the court involved assessing the fairness of the proposed agreement under the Fair Work Act 2009. This required a determination of whether the agreement met the "better-off, overall test" and whether it contained any unfair terms that would render the agreement invalid. The court needed to evaluate the balance between the rights of the employer to manage their business and the rights of employees to fair and reasonable working conditions.

The Fair Work Commission found that the proposed agreement was fair, meeting the "better-off, overall test." The Commission concluded that the agreement provided a reasonable balance between the parties' interests and did not contain any unfair terms. The decision was based on the comprehensive nature of the agreement, its compliance with relevant laws, and the evidence presented by both parties. The Commission approved the Engineering Services Enterprise Agreement 2022, allowing it to take effect as intended by the parties.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established