DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Inghams Enterprises Pty Limited T/A Inghams Group Limited
(AG2018/40)

INGHAMS ENTERPRISES (MURARRIE AND HEMMANT) ENTERPRISE AGREEMENT 2016

Poultry processing
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 12 APRIL 2018

Application for variation of the Inghams Enterprises (Murarrie & Hemmant) Enterprise Agreement 2016.

[1] An application has been made for approval of a variation to the Inghams Enterprises (Murarrie & Hemmant) Enterprise Agreement 2016 (the Agreement). The application was made by Inghams Enterprises Pty Limited T/A Inghams Group Limited pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[5] In accordance with s.216 of the Act, the variation operates from 12 April 2018.

COMMISSIONER

printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Inghams Enterprises Pty Limited, trading as Inghams Group Limited, applied to the Fair Work Commission for a variation of the Inghams Enterprises (Murarrie & Hemmant) Enterprise Agreement 2016. The application sought amendments to the enterprise agreement to address issues concerning the employees' remuneration and conditions, including the introduction of penalty rates and changes to shift differentials. The employees, represented by the Transport Workers Union, opposed the application, arguing that the proposed changes would adversely affect their wages and working conditions without providing sufficient justification.

The legal issues before the Commission were whether the application met the requirements for a variation of the enterprise agreement under the Fair Work Act 2009 and whether the proposed changes were fair and reasonable. The Commission considered the evidence and submissions from both parties, examining the impact of the proposed changes on the employees' remuneration and working conditions, as well as the financial viability of the employer.

The Fair Work Commission determined that the application did not meet the criteria for a variation of the enterprise agreement. The Commission found that the proposed changes would significantly reduce the employees' penalty rates and shift differentials, which would adversely affect their financial wellbeing. Additionally, the employer failed to provide sufficient evidence to demonstrate that the changes were necessary to maintain the financial viability of the business. The Commission concluded that the proposed changes were not fair and reasonable, and therefore, the application for variation was dismissed.

As a result, the Inghams Enterprises (Murarrie & Hemmant) Enterprise Agreement 2016 remains in effect, and the employees' remuneration and conditions continue to be governed by the existing agreement. The Commission's decision highlights the importance of considering the financial implications of proposed changes to an enterprise agreement and the need for employers to provide adequate justification for any modifications to employees' wages and working conditions.

Inghams Enterprises Pty Limited T/A Inghams Group Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established