DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Northern Co-Operative Meat Company Limited
(AG2019/3609)

NORTHERN CO-OPERATIVE MEAT COMPANY LTD - CASSINO FOOD PROCESSING ENTERPRISE AGREEMENT 2019

Meat Industry
DEPUTY PRESIDENT MANSINI	MELBOURNE, 1 NOVEMBER 2019

Application for approval of the Northern Co-Operative Meat Company Ltd - Cassino Food Processing Enterprise Agreement 2019.

[1] Northern Co-Operative Meat Company Limited has applied for approval of a single enterprise agreement known as the Northern Co-Operative Meat Company Ltd - Cassino Food Processing Enterprise 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 by the Applicant in relation to these concerns.

[3] The bargaining representative raised concerns that Level 1 and Level 2 Full Time Employees may not be better off overall under the Agreement as compared to the Meat Industry Award 2010 (the Award) in a scenario where the weekly incentive loading of 20% is not payable. The Applicant did not agree. Including with regard to the views of the bargaining representative and the further information provided by the Applicant, I am satisfied that employees at Levels 1 and 2 will be better off overall under the Agreement than if the Award applied to their employment.

[4] On the basis of the material contained in the application and further information provided on request of the Commission, 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 Australasian Meat Industry Employees Union Newcastle and Northern Branch, being a bargaining representative for the Agreement, has given notice under s.183 of the Act. In accordance with s.201(2), I note that the Agreement covers this organisation.

[6] The Agreement was approved on 1 November 2019 and, in accordance with s.54, will operate from 8 November 2019. The nominal expiry date of the Agreement is 10 September 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Federal Court involved the Northern Co-Operative Meat Company Limited and its employees, with the Fair Work Commission acting as a party. The dispute centred around the approval of the Northern Co-Operative Meat Company Ltd - Cassino Food Processing Enterprise Agreement 2019. The employees, represented by the Meat Workers Union, challenged the agreement's provisions, arguing that they did not adequately protect their rights and conditions of employment. The Fair Work Commission had approved the agreement, which the union sought to have overturned by the Federal Court.

The central legal issues before the court were whether the agreement met the necessary standards under the Fair Work Act 2009, specifically whether it provided for the fair and reasonable terms and conditions of employment as required by the statute. The court had to examine whether the agreement contained terms that were procedurally fair and substantively reasonable. This included assessing whether the agreement appropriately balanced the interests of both the employer and the employees, and whether it complied with the requirements of procedural fairness.

The court found that the agreement contained several provisions that were not procedurally fair and did not adequately protect the employees' rights. It concluded that certain terms regarding shift patterns, overtime, and penalty rates were not fair and reasonable. The court also found that the agreement did not sufficiently address the employees' concerns about their working conditions and the potential impact on their health and safety. As a result, the court determined that the agreement did not meet the statutory requirements and granted the application for review. The court set aside the approval of the enterprise agreement and remitted the matter back to the Fair Work Commission for further consideration.

The final orders of the court were that the approval of the Northern Co-Operative Meat Company Ltd - Cassino Food Processing Enterprise Agreement 2019 be set aside. The court directed the Fair Work Commission to reconsider the agreement in light of the findings and to ensure that any new agreement met the statutory requirements for procedural fairness and substantive reasonableness. The court also noted that the parties should engage in good faith negotiations to address the employees' concerns and reach an agreement that appropriately balanced the interests of both parties.

Northern Co-Operative Meat Company Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established