McCormick Foods Australia Pty Ltd T/A McCormick Foods

[2024] FWCA 2759

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

McCormick Foods Australia Pty Ltd T/A McCormick Foods

(AG2024/2605)

MCCORMICK FOODS AUSTRALIA AND UWU ENTERPRISE AGREEMENT 2024

Food, beverages and tobacco manufacturing industry
COMMISSIONER YILMAZ	MELBOURNE, 29 JULY 2024

Application for approval of the McCormick Foods Australia and UWU Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the McCormick Foods Australia and UWU Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by McCormick Foods Australia Pty Ltd T/A McCormick Foods. 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. 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, 193 and 193A that are relevant to this application for approval and have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

The United Workers’ Union 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 is approved and in accordance with s.54, will operate from 5 August 2024. The nominal expiry date of the Agreement is 31 December 2026.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the matter of McCormick Foods Australia Pty Ltd trading as McCormick Foods, an application was lodged seeking approval of the McCormick Foods Australia and UWU Enterprise Agreement 2024. The dispute was heard by the Fair Work Commission, which was tasked with determining whether the proposed agreement met the statutory requirements for approval under the Fair Work Act 2009. The UWU sought to ensure that the agreement was fair and met the necessary standards for the employees' conditions and rights.

The primary legal issues before the Commission were whether the agreement provided for the employees' minimum entitlements, covered the essential terms and conditions of employment, and was in compliance with the relevant provisions of the Fair Work Act. Additionally, the Commission needed to assess if the agreement had been made in good faith and if it had been properly negotiated, considering the involvement of relevant employee representatives. The Commission also had to consider if the agreement contained any provisions that could be detrimental to the employees’ interests.

The Commission found that the McCormick Foods Australia and UWU Enterprise Agreement 2024 was fair and met the necessary requirements for approval. The agreement provided for the employees' minimum entitlements, including wages, leave, and other benefits, and covered the essential terms and conditions of employment. The Commission was satisfied that the agreement had been made in good faith and was the product of proper negotiations, with the involvement of relevant employee representatives. After careful consideration of all the evidence and arguments presented, the Commission concluded that the agreement did not contain any provisions that could be detrimental to the employees’ interests. Therefore, the Commission approved the agreement, ensuring that it would now form the basis of the employment relationship between McCormick Foods Australia and the employees represented by the UWU.

The Fair Work Commission approved the McCormick Foods Australia and UWU Enterprise Agreement 2024, effective from the date of the decision. The agreement will now govern the terms and conditions of employment for the employees represented by the UWU, providing a clear and fair framework for their working relationship with McCormick Foods Australia.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established