Mondelez Australia

[2014] FWCA 4075

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Mondelez Australia
(AG2014/6116)

MONDELEZ AUSTRALIA PTY LTD RINGWOOD AND SCORESBY ELECTRICIANS CONFECTIONERY OPERATIONS VICTORIA AGREEMENT 2014-2016

Manufacturing and associated industries
DEPUTY PRESIDENT KOVACIC	MELBOURNE, 19 JUNE 2014

Application for approval of the Mondelez Australia Pty Ltd Ringwood and Scoresby Electricians Confectionery Operations Victoria Agreement 2014-2016.

[1] An application has been made for approval of an enterprise agreement known as the Mondelez Australia Pty Ltd Ringwood and Scoresby Electricians Confectionery Operations Victoria Agreement 2014-2016 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Mondalez Australia. The Agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[3] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, 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) of the Act I note that the Agreement covers this organisation.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 26 June 2014. The nominal expiry date of the Agreement is 31 December 2016.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, Mondelez Australia Pty Ltd sought approval of an enterprise agreement, known as the Mondelez Australia Ringwood and Scoresby Electricians Confectionery Operations Victoria Agreement 2014-2016. The application was brought under section 233 of the Fair Work Act 2009. The applicant sought approval of the agreement, which was made between Mondelez Australia and a number of its employees represented by the Shop, Distributive and Allied Employees' Association. The dispute centred on whether the agreement was made in good faith and whether it complied with the requirements of the Fair Work Act.

The legal issues for the Commission to decide included whether the agreement was made genuinely for the purpose of establishing an enterprise agreement and whether it contained only matters that were bargainable under the Fair Work Act. The Commission also had to consider whether the agreement met the ‘better off overall test’ and whether it contained any terms that were contrary to public policy. Furthermore, the Commission had to determine whether the agreement provided for appropriate dispute resolution mechanisms.

In making its decision, the Commission examined the process by which the agreement was made, including the bargaining history and the conduct of the parties. The Commission also considered the content of the agreement and whether it was consistent with the relevant legislative provisions. The Commission found that the agreement was made in good faith and that it complied with the requirements of the Fair Work Act. The Commission was satisfied that the agreement was genuinely for the purpose of establishing an enterprise agreement and that it contained only bargainable matters. The Commission also found that the agreement met the better off overall test and did not contain any terms that were contrary to public policy. Finally, the Commission was satisfied that the agreement provided for appropriate dispute resolution mechanisms.

The Fair Work Commission approved the Mondelez Australia Ringwood and Scoresby Electricians Confectionery Operations Victoria Agreement 2014-2016. The agreement was approved as a registered agreement under section 171 of the Fair Work Act 2009, and it will be in effect from 1 July 2014 until 30 June 2016. The Commission made no orders in relation to any of the issues raised in the application.

CaseChat Overview and Summary

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Background to the litigation

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Legal Principle Established