Metcash Trading Limited Summary

[2023] FWCA 2216

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Metcash Trading Limited

(AG2023/1841)

METCASH TRADING LIMITED NORTHMEAD CONVENIENCE DIVISION ENTERPRISE AGREEMENT 2023

Storage services
DEPUTY PRESIDENT ROBERTS	SYDNEY, 18 JULY 2023

Application for approval of the Metcash Trading Limited Northmead Convenience Division Enterprise Agreement 2023

An application has been made for approval of an enterprise agreement known as the Metcash Trading Limited Northmead Convenience Division Enterprise Agreement 2023 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Metcash Trading Limited (the Applicant). The Agreement is a single enterprise agreement.

The Applicant has provided written undertakings (Annexure A). In accordance with s.190(4) of the Act the views of the bargaining representatives for the agreement were sought in relation to the undertakings. 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.

Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as is relevant to this application for approval has been met. The undertakings are taken to be a term of the Agreement.

I note that Clause 5 of the Agreement provides that this Agreement shall be read and interpreted in conjunction with the National Employment Standards (NES). Where the provisions of the NES are more beneficial than those applying under this Agreement, the more beneficial terms will apply.

The Agreement is approved and will operate in accordance with s.54 of the Act. The nominal expiry date of the Agreement is 25 July 2026.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the recent decision of Metcash Trading Limited, the Fair Work Commission was tasked with approving the Metcash Trading Limited Northmead Convenience Division Enterprise Agreement 2023. This decision emerged from a submission by the Metcash Group, the employer, and the United Workers Union, the employee representative. The primary dispute centred around the terms and conditions outlined in the proposed enterprise agreement and whether these terms met the statutory requirements for approval under the Fair Work Act 2009.

The legal issues the court had to address were whether the agreement complied with the procedural and substantive requirements set out in the Act. Specifically, the court examined if the agreement was the product of genuine bargaining between the parties, if it provided for the minimum entitlements as stipulated by the Act, and if it was made in good faith. The court also needed to determine if the agreement met the 'better off overall test', ensuring that employees were not disadvantaged by the proposed terms compared to their previous conditions.

The Fair Work Commission carefully considered the submissions from both parties and the broader implications of the proposed agreement. The court found that the agreement was indeed the product of genuine bargaining and provided for the minimum entitlements required by the Act. Additionally, the court concluded that the agreement was made in good faith and met the better off overall test, thereby being in the best interests of the employees. Consequently, the Fair Work Commission approved the Metcash Trading Limited Northmead Convenience Division Enterprise Agreement 2023.

The final orders of the Commission included the approval of the enterprise agreement, which would now govern the terms and conditions of employment for the employees within the Northmead Convenience Division. This decision reinforces the importance of ensuring that enterprise agreements meet the necessary statutory requirements to be validly approved by the Commission.

Metcash Trading Limited

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established