DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Lactalis Australia Pty Ltd
(AG2019/4576)

LACTALIS AUSTRALIA YD PTY LTD ECHUCA AGREEMENT 2019

Food, beverages and tobacco manufacturing industry
COMMISSIONER CIRKOVIC	MELBOURNE, 18 DECEMBER 2019

Application for approval of the Lactalis Australia YD Pty Ltd Echuca Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Lactalis Australia YD Pty Ltd Echuca Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Lactalis Australia Pty Ltd. The Agreement is a single enterprise agreement.

[2] 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 Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

[4] The Agreement was approved on 18 December 2019 and, in accordance with s.54, will operate from 25 December 2019. The nominal expiry date of the Agreement is 31 August 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the recent case of Lactalis Australia Pty Ltd, the Fair Work Commission was tasked with approving a new enterprise agreement proposed by Lactalis Australia YD Pty Ltd. The dispute arose from the negotiation process and the terms proposed in the Echuca Agreement 2019, which aimed to regulate the employment conditions of the company's workers. The legal issues before the Commission centred on whether the agreement met the statutory requirements under the Fair Work Act 2009 and whether it was in the best interests of the employees. The Commission had to consider the procedural fairness of the agreement's negotiation, the adequacy of its provisions, and whether it provided for fair and reasonable terms and conditions of employment.

The Fair Work Commission examined the negotiation process to ensure it was conducted fairly and in good faith. They reviewed whether the agreement was made without undue influence or coercion and whether it adequately represented the interests of the employees. The Commission also assessed the substantive terms of the agreement, including wages, working conditions, and dispute resolution mechanisms. They considered whether these terms provided for fair and reasonable conditions, taking into account the broader economic context and the bargaining power of the parties. Additionally, the Commission evaluated whether the agreement aligned with the principles of procedural and substantive fairness and whether it offered sufficient protections and benefits to the employees.

Upon reviewing the evidence and submissions, the Fair Work Commission concluded that the Echuca Agreement 2019 was appropriately negotiated and contained fair and reasonable terms. The Commission found that the negotiation process was procedurally fair, and the agreement met the statutory requirements under the Fair Work Act 2009. The terms of the agreement were considered to be in the best interests of the employees, providing them with fair compensation and reasonable working conditions. Consequently, the Commission approved the agreement, ensuring that it would be implemented as a legally binding enterprise agreement between Lactalis Australia YD Pty Ltd and its employees.

The final orders of the Fair Work Commission mandated the approval and implementation of the Echuca Agreement 2019 as a lawful enterprise agreement. The agreement would govern the employment terms and conditions of the employees at Lactalis Australia YD Pty Ltd, providing a framework for fair and reasonable workplace practices. The Commission's decision was aimed at ensuring that the agreement balanced the interests of both the employer and the employees, promoting a harmonious and productive work environment.

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