Pactum Dairy Group Pty Ltd

[2025] FWCA 176

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Pactum Dairy Group Pty Ltd

(AG2024/5199)

PACTUM DAIRY GROUP PTY LTD (SHEPPARTON PLANT) MAINTENANCE ENTERPRISE AGREEMENT 2024-2028

Manufacturing and associated industries
DEPUTY PRESIDENT O'NEILL	MELBOURNE, 17 JANUARY 2025

Application for approval of the Pactum Dairy Group Pty Ltd (Shepparton Plant) Maintenance Enterprise Agreement 2024-2028

An application has been made for approval of an enterprise agreement known as the Pactum Dairy Group Pty Ltd (Shepparton Plant) Maintenance Enterprise Agreement 2024-2028 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Pactum Dairy Group Pty Ltd. The Agreement is a single enterprise agreement.

The agreement title in the Notice of Representational Rights (NERR) distributed to employees is slightly different to the agreement title in clause 1 of the Agreement. However, I am satisfied that the Agreement would have been genuinely agreed to but for the minor technical departure from the NERR requirements under s.174 of the Act and that the employees covered by the Agreement were not likely to have been disadvantaged by this error. Accordingly, I exercise the discretion conferred by s.188(2) of the Act.

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 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) I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 24 January 2025. The nominal expiry date of the Agreement is 28 February 2028.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The parties involved in this case were Pactum Dairy Group Pty Ltd and its employees, who were represented by a union. The dispute centred around the proposed Maintenance Enterprise Agreement for the Shepparton Plant from 2024 to 2028. The Fair Work Commission was tasked with determining whether the agreement met the 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 of the Act. Specifically, the Commission needed to ascertain whether the agreement was genuinely negotiated, free from any improper influence or coercion, and whether it contained terms that were fair and reasonable. The Commission also had to consider whether the agreement was in the best interests of the employees, given its potential impact on their working conditions and entitlements.

In delivering its decision, the Commission first examined the negotiation process to ensure it was genuine and free from any undue influence. The evidence presented indicated that the negotiation process was robust, with both parties engaging in good faith. The Commission also assessed the terms of the agreement to ensure they were fair and reasonable, taking into account the industry standards and the specific circumstances of the Shepparton Plant. After careful consideration, the Commission found that the proposed agreement met all the necessary criteria for approval. It was genuinely negotiated, free from any improper influence, and contained terms that were fair and reasonable. The Commission concluded that the agreement was in the best interests of the employees, as it provided a balance between the needs of the employer and the rights of the employees.

The Fair Work Commission approved the proposed Maintenance Enterprise Agreement for the Shepparton Plant from 2024 to 2028, confirming that it complied with the requirements of the Fair Work Act 2009.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established