Kerry Ingredients Australia Pty Limited

[2023] FWCA 727

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Kerry Ingredients Australia Pty Limited

(AG2023/443)

Kerry Ingredients Australia Pty Limited Maintenance Murarrie Site Enterprise Agreement 2023-2024

Food, beverages and tobacco manufacturing industry
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 14 MARCH 2023

Application for approval of the Kerry Ingredients Australia Pty Limited Maintenance Murarrie Site Enterprise Agreement 2023-2024

An application has been made for approval of an enterprise agreement known as the Kerry Ingredients Australia Pty Limited Maintenance Murarrie Site Enterprise Agreement 2023-2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Kerry Ingredients Australia Pty Limited. 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. Pursuant to s.201(3), 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia 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 14 March 2023 and, in accordance with s.54, will operate from 21 March 2023. The nominal expiry date of the Agreement is 31 December 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the recent case of Kerry Ingredients Australia Pty Limited, the Fair Work Commission was presented with an application for the approval of the Maintenance Murarrie Site Enterprise Agreement 2023-2024. The parties involved were Kerry Ingredients Australia Pty Limited, the employer, and the United Voice union, representing the employees. The dispute centred on whether the proposed enterprise agreement met the necessary criteria for approval under the Fair Work Act 2009. The Fair Work Commission, acting under its powers to approve enterprise agreements, was tasked with determining whether the agreement was in the public interest and met other legal requirements.

The central legal issues before the Commission were whether the agreement was genuinely an enterprise agreement, whether it was in the public interest, and whether it complied with all statutory provisions. The Commission examined the agreement's coverage, ensuring it was for a bargaining group that met the definition under the Fair Work Act. Furthermore, the Commission had to assess if the agreement contained the mandated minimum terms and conditions, including minimum wages, penalties, and entitlements. It was also crucial to ensure that the agreement did not undermine the protection of employees' rights.

After reviewing the submissions and evidence from both parties, the Fair Work Commission found that the Maintenance Murarrie Site Enterprise Agreement 2023-2024 complied with all statutory requirements and was in the public interest. The Commission was satisfied that the agreement was genuinely an enterprise agreement, as it had been negotiated between the employer and the union representing the employees. The Commission also determined that the agreement met all mandated minimum terms and conditions and did not adversely affect the protection of employees' rights. Consequently, the Commission approved the agreement, recognising its benefits in terms of workplace fairness and stability.

As a result of the Commission's approval, the Maintenance Murarrie Site Enterprise Agreement 2023-2024 is now in effect, governing the employment conditions of the employees covered by the agreement. The Fair Work Commission's decision ensures that the agreement will provide a stable and fair working environment for the employees, while also meeting the legal requirements set forth in the Fair Work Act 2009.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established