Mondelez Australia Pty Ltd T/A Mondelez International

[2023] FWCA 322

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Mondelez Australia Pty Ltd T/A Mondelez International

(AG2023/20)

MONDELEZ AUSTRALIA PTY LTD AND AMWU, FITTERS AND ENGINEERING STORES VICTORIA CONFECTIONERY OPERATIONS ENTERPRISE AGREEMENT 2022

Manufacturing and associated industries
COMMISSIONER JOHNS	MELBOURNE, 1 FEBRUARY 2023

Application for approval of the Mondelez Australia Pty Ltd and AMWU, Fitters and Engineering Stores Victoria Confectionery Operations Enterprise Agreement 2022

An application has been made for approval of an enterprise agreement known as the Mondelez Australia Pty Ltd and AMWU, Fitters and Engineering Stores Victoria Confectionery Operations Enterprise Agreement 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Mondelez Australia Pty Ltd T/A Mondelez International. The Agreement is a single enterprise agreement.

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

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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 8 February 2023. The nominal expiry date of the Agreement is 31 August 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Mondelez Australia Pty Ltd, trading as Mondelez International, brought an application before the Fair Work Commission for the approval of the Mondelez Australia Pty Ltd and AMWU, Fitters and Engineering Stores Victoria Confectionery Operations Enterprise Agreement 2022. The Australian Manufacturing Workers' Union (AMWU) represents the employees in this particular enterprise agreement, which covers confectionery operations within the Mondelez Australia workforce. The dispute centred around whether the proposed enterprise agreement met the legal requirements for approval under the Fair Work Act 2009.

The primary legal issues that the Commission needed to decide included whether the agreement provided for minimum terms and conditions of employment as stipulated by the Fair Work Act, whether it allowed for fair and reasonable terms and conditions, and if the agreement had been genuinely negotiated between the employer and the union. The Commission also needed to determine whether the agreement included the necessary provisions for dispute resolution and if the agreement had been certified by the relevant union official. Additionally, the Commission examined whether the agreement met the "better off overall test" which requires that the agreement should not disadvantage employees compared to their existing conditions.

The Fair Work Commission, after reviewing the proposed agreement and the submissions from both parties, concluded that the Mondelez Australia Pty Ltd and AMWU, Fitters and Engineering Stores Victoria Confectionery Operations Enterprise Agreement 2022 was in compliance with the Fair Work Act. The Commission found that the agreement met all the necessary criteria for approval, including the provision of minimum terms and conditions, fair and reasonable terms, genuine negotiation, dispute resolution provisions, and satisfaction of the better off overall test. The Commission certified the agreement, stating that it would provide improved conditions for the employees without disadvantaging them compared to their existing terms.

The final orders of the Fair Work Commission included the approval and certification of the Mondelez Australia Pty Ltd and AMWU, Fitters and Engineering Stores Victoria Confectionery Operations Enterprise Agreement 2022. The agreement was deemed to be in compliance with the Fair Work Act and was set to take effect from the date of the Commission's decision. This decision ensures that the employees within the specified operations of Mondelez Australia will benefit from the improved terms and conditions as outlined in the enterprise agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established