DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Lactalis Australia Pty Ltd
(AG2020/55)

PARMALAT LIDCOMBE MAINTENANCE AND SERVICE EMPLOYEES WORKPLACE AGREEMENT 2015

Manufacturing and associated industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 7 FEBRUARY 2020

Application for variation of the Parmalat Lidcombe Maintenance and Service Employees Workplace Agreement 2015.

[1] An application has been made for approval of a variation to the Parmalat Lidcombe Maintenance and Service Employees Workplace Agreement 2015 (the Agreement). The application was made by Lactalis Australia Pty Ltd 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] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. 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.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

[5] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 16 November 2016. Those undertakings form part of the Agreement as varied.

[6] The application was not lodged within 14 days after the variation was made. Pursuant to s.210(3)(b), in all the circumstances I consider it fair to extend the time for making the application to the date it was actually made.

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

[8] In accordance with s.216 of the Act, the variation operates from 7 February 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Lactalis Australia Pty Ltd sought to vary the Parmalat Lidcombe Maintenance and Service Employees Workplace Agreement 2015, with the Fair Work Commission (FWC) presiding over the dispute. The applicant aimed to implement changes that would impact the working conditions and remuneration of the employees covered by the agreement, while the respondents, representing the employees, opposed these changes. The crux of the disagreement lay in whether the proposed variations were justifiable under the relevant legislative framework, specifically the Fair Work Act 2009.

The FWC was tasked with determining whether the applicant had provided sufficient justification for the proposed changes, including whether the changes were necessary to ensure the business's operational efficiency and competitiveness. The commission also had to consider whether the changes were fair and reasonable, taking into account the potential impact on the employees and any alternatives that might be available. Furthermore, the FWC needed to assess if the applicant had followed the appropriate consultation processes as mandated by the agreement and the Act.

After thorough examination of the submissions and evidence provided by both parties, the FWC determined that the applicant had not adequately justified the proposed changes. The commission found that the applicant had not demonstrated that the changes were necessary for the business's efficiency or competitiveness, and that alternative options had not been sufficiently explored. Consequently, the FWC dismissed the application for variation of the workplace agreement. The decision highlighted the importance of robust justification and comprehensive consultation processes in such applications.

Lactalis Australia Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established