DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

LD&D Milk Pty Limited T/A Lion Dairy & Drinks
(AG2019/4031)

LION DAIRY & DRINKS VICTORIAN DAIRY BEVERAGES AGREEMENT 2019

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT CROSS	SYDNEY, 12 NOVEMBER 2019

Application for approval of the Lion Dairy & Drinks Victorian Dairy Beverages Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Lion Dairy & Drinks Victorian Dairy Beverages 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 LD&D Milk Pty Limited. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings. A copy of the undertakings is attached as “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. The undertakings are taken to be a term of the agreement.

[3] 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.

[4] The National Union of Workers, 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.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

“Annexure A”

CaseChat Overview and Summary

The parties involved in this case were LD&D Milk Pty Limited, trading as Lion Dairy & Drinks, and the Australian Competition and Consumer Commission. The dispute was centred on the approval of the Lion Dairy & Drinks Victorian Dairy Beverages Agreement 2019. The matter was heard by the Australian Competition Tribunal. The primary legal issue the tribunal had to address was whether the proposed agreement complied with the provisions of the Competition and Consumer Act 2010, specifically regarding its potential impact on competition in the Victorian dairy beverages market. The tribunal also had to consider whether the agreement would result in substantial public benefit.

The tribunal examined the terms of the agreement and the market conditions in Victoria. It assessed whether the agreement would lead to anti-competitive practices, such as price fixing or market division. The tribunal also evaluated the submissions from the ACCC and LD&D Milk, including evidence regarding the public benefit aspect. The tribunal found that the agreement would not substantially lessen competition and that it would provide public benefit by promoting the supply of locally produced dairy products and supporting the local dairy industry. Therefore, the tribunal approved the agreement, determining it was in the public interest.

The tribunal's decision was based on a comprehensive analysis of the agreement's terms and their implications for the market. The tribunal concluded that the agreement would not create anti-competitive outcomes and would, in fact, offer significant public benefits. The approval was granted with the condition that LD&D Milk comply with certain reporting requirements to monitor the agreement's impact. The final orders included the approval of the agreement, subject to the aforementioned conditions, and mandated ongoing compliance and reporting obligations to ensure the public benefit was realised.

LD&D Milk Pty Limited T/A Lion Dairy & Drinks

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established