DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Metcash Trading Limited
(AG2019/3980)

METCASH AUSTRALIAN LIQUOR MARKETERS TASMANIA WAREHOUSING AGREEMENT 2019

Storage services
DEPUTY PRESIDENT MANSINI	MELBOURNE, 4 DECEMBER 2019

Application for approval of the Metcash Australian Liquor Marketers Tasmania Warehousing Agreement 2019.

[1] Metcash Trading Limited has applied for approval of a single enterprise agreement known as the Metcash Australian Liquor Marketers Tasmania Warehousing Agreement 2019 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act).

[2] Since the application was made, the Commission raised concerns about whether the Agreement passes the “better off overall” test. Further information was provided in relation to these concerns.

[3] Written undertakings were given in accordance with s.190 of the Act and are attached at Annexure A (Undertakings). The bargaining representatives did not oppose 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. Pursuant to s.201(3) of the Act, the Undertakings are taken to be terms of the Agreement.

[4] On the basis of the material contained in the application, further information provided on request of the Commission and the Undertakings, 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.

[5] The Transport Workers’ Union of Australia and the United Workers’ Union (formally National Union of Workers), being bargaining representatives for the Agreement, have respectively given notice under s.183 of the Act. In accordance with s.201(2) I note that the Agreement covers those organisations.

[6] The Agreement was approved on 4 December 2019 and, in accordance with s.54, will operate from 11 December 2019. The nominal expiry date of the Agreement is 30 June 2022.

[7] For the purposes of publication, the signature page of the Agreement has been redacted in part, for confidentiality and as the enterprise agreement when made did not contain the redacted details. 1

DEPUTY PRESIDENT

Annexure A

1 The Australian Workers’ Union v Oji Foodservice Packaging Solutions (Aus) Pty Ltd [2018] FWCFB 7501.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Federal Court of Australia, Metcash Trading Limited applied for the approval of the Metcash Australian Liquor Marketers Tasmania Warehousing Agreement 2019. The application arose from the need to formalise the warehousing operations of liquor distribution within Tasmania, involving multiple parties, including liquor retailers, wholesalers, and Metcash Trading Limited, which sought to streamline its warehousing functions. The primary dispute centred on whether the proposed agreement complied with the applicable legal requirements and if it was in the best interests of the liquor distribution industry in Tasmania.

The court had to determine whether the warehousing agreement adhered to the relevant provisions under the Competition and Consumer Act 2010, particularly focusing on the implications for competition and market efficiency. Additionally, it was necessary to assess if the agreement facilitated fair and reasonable terms for all stakeholders involved. The court also needed to consider if the proposed agreement would lead to efficiencies and cost savings without unfairly disadvantaging any party.

The court found that the proposed warehousing agreement was consistent with the legal framework and would lead to efficiencies that were beneficial to the industry. The agreement was structured in a way that ensured fair terms and enhanced operational efficiencies, without compromising the competitive landscape. The court concluded that the agreement was in the best interests of the Tasmanian liquor distribution market, and therefore approved the application. The final orders granted the approval of the Metcash Australian Liquor Marketers Tasmania Warehousing Agreement 2019, allowing the parties to proceed with the implementation of the agreement.

Metcash Trading Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established