DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Nestle Australia Limited T/A Uncle Toby’s
(AG2017/4503)

NESTLE AUSTRALIA LTD (UNCLE TOBYS WAHGUNYAH) AUSTRALIAN MANUFACTURING WORKERS’ UNION COLLECTIVE AGREEMENT 2017

Manufacturing and associated industries
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 20 OCTOBER 2017

Application for approval of the Nestle Australia Ltd (Uncle Tobys Wahgunyah) Australian Manufacturing Workers’ Union Collective Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Nestle Australia Ltd (Uncle Tobys Wahgunyah) Australian Manufacturing Workers’ Union Collective Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Nestle Australia Limited T/A Uncle Tobys. The Agreement is a single enterprise agreement.

[2] 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 Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] 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.

[4] The Agreement was approved on 20 October 2017 and, in accordance with s.54, will operate from 27 October 2017. The nominal expiry date of the Agreement is 30 June 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Nestle Australia Limited, trading as Uncle Toby’s, filed an application for the approval of the collective agreement negotiated with the Australian Manufacturing Workers’ Union. The application was heard in the Fair Work Commission. The union and the company had reached an agreement concerning wages and conditions of employment for workers at the Wahgunyah site, and they sought the Commission's endorsement to ensure the agreement's enforceability.

The legal issues before the Commission were whether the agreement met the statutory requirements for approval under the Fair Work Act 2009, and whether the process by which the agreement was negotiated and executed was fair and in compliance with the Act. The Commission had to consider if the agreement was made in good faith, covered appropriate bargaining units, and provided for proper dispute resolution mechanisms.

The Fair Work Commission found that the agreement was negotiated in good faith and appropriately covered the bargaining unit. The Commission was satisfied that the process adhered to the requirements of the Act and that the terms of the agreement were fair and reasonable. It determined that the agreement met all the statutory criteria for approval, including provisions for employee representation and dispute resolution. The Commission thus approved the collective agreement, enabling it to be enforced as a legally binding contract.

No further orders were made by the Commission, as the primary objective of the application, the approval of the agreement, had been achieved. The agreement was endorsed, and the parties were bound by its terms moving forward.

Nestle Australia Limited T/A Uncle Toby’s

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established