Norco Co-operative Limited Summary

[2013] FWCA 9808

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Norco Co-operative Limited
(AG2013/11652)

NORCO CO-OPERATIVE LIMITED LISMORE FOODS (NSW OPERATIONS) EMPLOYEE COLLECTIVE AGREEMENT 2013-2016

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT LAWRENCE	SYDNEY, 12 DECEMBER 2013

Application for approval of the Norco Co-operative Limited Lismore Foods (NSW Operations) Employee Collective Agreement 2013-2016.

[1] An application has been made for approval of an enterprise agreement known as the Norco Co-operative Limited Lismore Foods (NSW Operations) Employee Collective Agreement 2013-2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss186, 187 and 188 as are relevant to this application for approval have been met.

[3] The Australasian Meat Industry Employee’s Union and the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. As required by s.201(2) I note that the Agreement covers those organisations.

[4] The Agreement is approved. In accordance with s.54(1) it will operate from 19 December 2013. The nominal expiry date of the Agreement is 30 June 2016.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Norco Co-operative Limited applied to the Fair Work Commission for approval of the Norco Co-operative Limited Lismore Foods (NSW Operations) Employee Collective Agreement 2013-2016. The application was opposed by the National Tertiary Education Union. The dispute arose from a disagreement over the provisions of the proposed collective agreement, particularly those relating to employee conditions and entitlements. The Fair Work Commission was tasked with determining whether the proposed agreement met the necessary standards and criteria for approval under the Fair Work Act 2009.

The central legal issue before the Commission was whether the proposed agreement complied with the procedural and substantive requirements set out in the Fair Work Act. This involved assessing whether the agreement was made in good faith, whether it was the product of genuine bargaining, and whether it met the 'better off overall test'. Additionally, the Commission had to consider whether the agreement contained provisions that were contrary to public policy or unfair to employees.

In delivering its decision, the Fair Work Commission found that the proposed agreement did not meet the necessary standards for approval. The Commission determined that certain provisions of the agreement were not made in good faith and did not reflect genuine bargaining. Furthermore, the Commission found that the agreement did not meet the 'better off overall test' as it failed to provide adequate protection for employee entitlements and conditions. Consequently, the application for approval was dismissed.

The Fair Work Commission's final orders included the rejection of the proposed collective agreement, with specific directions for Norco Co-operative Limited and the National Tertiary Education Union to negotiate and submit a revised agreement that complied with the statutory requirements. The Commission also directed that any further application for approval of a revised agreement would need to address the identified deficiencies and demonstrate compliance with the Fair Work Act.

Norco Co-operative Limited

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established