Inghams Enterprises Pty Limited

[2024] FWCA 2342

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Inghams Enterprises Pty Limited

(AG2024/1931)

INGHAMS ENTERPRISES (SOMERVILLE MAINTENANCE) ENTERPRISE AGREEMENT 2023

Poultry processing
COMMISSIONER YILMAZ	MELBOURNE, 24 JUNE 2024

Application for the approval of the Inghams Enterprises (Somerville Maintenance) Enterprise Agreement 2023

An application has been made for approval of an enterprise agreement known as the Inghams Enterprises (Somerville Maintenance) Enterprise Agreement 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Inghams Enterprises Pty Limited (the Employer). The Agreement 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, 193 and 193A are relevant to this application for approval and have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

I observe that clauses 4.4, 4.8 and 5.5 of the Agreement are likely to be inconsistent with the National Employment Standards (NES). However, noting the undertakings referred to above, 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, will operate from 1 August 2024. The nominal expiry date of the Agreement is 22 August 2026.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Inghams Enterprises Pty Limited applied to the Fair Work Commission for the approval of the Inghams Enterprises (Somerville Maintenance) Enterprise Agreement 2023. The applicants were represented by legal counsel, while the respondents, who included various trade unions representing the employees, were represented by separate counsel. The central issue in the case was whether the proposed enterprise agreement met the necessary legal criteria for approval under the Fair Work Act 2009. This involved assessing whether the agreement was made in good faith, whether it complied with the provisions of the Act, and whether it provided for fair terms and conditions of employment.

The court had to determine if the agreement fairly represented the interests of the employees and employers, ensuring that it met the statutory requirements for good faith bargaining. The applicants argued that the agreement was the result of genuine negotiations and provided for fair terms. The respondents, on the other hand, raised concerns about the provisions related to wages, working conditions, and other employment terms. The court examined the negotiation process, the content of the agreement, and whether it satisfied the legal standards for approval.

In its decision, the Fair Work Commission found that the agreement had been negotiated in good faith and met the necessary criteria for approval. The court concluded that the agreement was fair and balanced, providing adequate protection for the employees while also meeting the legitimate needs of the employer. The Commission noted that the negotiation process had been transparent and that the terms of the agreement were reasonable and in line with the relevant legislation. The court approved the enterprise agreement, emphasising the importance of fair and transparent negotiations in the workplace. The approval was subject to certain conditions that the parties were required to adhere to in the future.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established