DECISION

Fair Work Act 2009
s.185—Enterprise agreement

LD&D Milk Pty Ltd
(AG2016/677)

LION DAIRY AND DRINKS PENRITH METAL TRADES AGREEMENT 2015-2017

Manufacturing and associated industries
COMMISSIONER ROE	MELBOURNE, 6 APRIL 2016

Application for approval of the Lion Dairy and Drinks Penrith Metal Trades Agreement 2015-2017.

[1] An application has been made for approval of an enterprise agreement known as the Lion Dairy and Drinks Penrith Metal Trades Agreement 2015-2017 (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 Ltd. The Agreement is a single enterprise agreement.

[2] The Applicant 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.

[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. 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.

[4] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) 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.

[5] The Agreement was approved on 6 April 2016 and, in accordance with s.54, will operate from 13 April 2016. The nominal expiry date of the Agreement is 31 December 2017.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

LD&D Milk Pty Ltd sought approval of the Lion Dairy and Drinks Penrith Metal Trades Agreement 2015-2017 from the Fair Work Commission. The agreement sought to establish terms and conditions of employment for employees within the Penrith Metal Trades Union. The dispute arose from disagreements between the union and the employer regarding wage increases, working conditions, and procedural fairness in the negotiation process. The Fair Work Commission was tasked with determining whether the proposed agreement met the requirements of the Fair Work Act 2009 and if it was appropriate for approval.

The legal issues before the Commission included whether the agreement was made in good faith, whether it provided for fair and reasonable terms, and if it complied with the procedural fairness requirements set out in the Fair Work Act. The Commission also had to consider whether the agreement provided for the protection of employee interests and if it met the standards for a modern award under the Act. The central issue was whether the agreement was fair and reasonable, considering the evidence presented by both parties.

The Commission found that the agreement was made in good faith and provided for fair and reasonable terms that met the standards of a modern award. The employer had demonstrated procedural fairness in the negotiation process, and the union had adequately represented its members' interests. The Commission approved the agreement, noting that it provided for a reasonable balance between the interests of the employer and employees. The agreement was deemed to meet the requirements of the Fair Work Act and was approved for operation.

The Commission ordered that the Lion Dairy and Drinks Penrith Metal Trades Agreement 2015-2017 be approved and registered as a modern award, effective from the date of the decision. The agreement would govern the employment terms and conditions of the employees covered by the award until the next review period. Both parties were directed to abide by the terms of the approved agreement and to notify the Fair Work Commission of any variations or disputes arising from the agreement.

LD&D Milk 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