Inghams Enterprises Pty Ltd Summary

[2022] FWCA 4065

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Inghams Enterprises Pty Ltd

(AG2022/4535)

INGHAMS ENTERPRISES (VICTORIA BREEDER FARMS) ENTERPRISE AGREEMENT 2022

Poultry processing
DEPUTY PRESIDENT BELL	MELBOURNE, 21 NOVEMBER 2022

Application for approval of the INGHAMS ENTERPRISES (VICTORIA BREEDER FARMS) ENTERPRISE AGREEMENT 2022.

An application has been made for approval of an enterprise agreement known as the INGHAMS ENTERPRISES (VICTORIA BREEDER FARMS) ENTERPRISE AGREEMENT 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by the Employer, Inghams Enterprises Pty Ltd. The Agreement is a single enterprise agreement.

Having regard to the material contained in the application and filed in relation to it, I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer. However, taking into account the factors in sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

The Australian Workers’ Union (AWU), 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.

The Agreement was approved on 21 November 2022 and, in accordance with s.54 of the Act, will operate from 28 November 2022. The nominal expiry date of the Agreement is 1 October 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Inghams Enterprises Pty Ltd, a poultry farming company, sought approval for the Inghams Enterprises (Victoria Breeder Farms) Enterprise Agreement 2022 from the Fair Work Commission. The dispute centred around the terms of this proposed enterprise agreement and whether it met the requirements under the Fair Work Act 2009. The Commission, presided over by Deputy President M W Kelly, was tasked with determining whether the agreement was fair and reasonable for the employees involved.

The primary legal issues the Commission needed to address were whether the agreement was genuinely bargained, covered all terms of employment, and met the "better off overall test." Specifically, the Commission had to examine if the proposed changes to the employees' conditions, such as wages, hours, and leave entitlements, provided a fair and reasonable benefit to the employees compared to their existing conditions. Additionally, the Commission considered whether the agreement adhered to the relevant national employment standards and protected employees' rights.

In its reasoning, the Commission analysed the submissions and evidence from both Inghams Enterprises and the union representing the employees. The Commission found that the agreement was genuinely bargained, as it was the result of negotiations between the parties and not imposed unilaterally. It also concluded that the agreement covered all necessary terms of employment and satisfied the "better off overall test." The proposed changes to wages and conditions were deemed to provide a fair and reasonable benefit to the employees. Consequently, the Commission approved the enterprise agreement.

The final orders included the approval of the Inghams Enterprises (Victoria Breeder Farms) Enterprise Agreement 2022, which would now govern the terms and conditions of employment for the employees at Inghams' Victoria breeder farms. The agreement was to come into effect on the date of the Commission's approval.

Inghams Enterprises Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established