Penrice Soda Products Pty Ltd

[2014] FWCA 473

FAIR WORK COMMISSION

DECISION

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

Penrice Soda Products Pty Ltd
(AG2013/11882)

PENRICE ELECTRICAL AND INSTRUMENTATION TRADES AGREEMENT 2013

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT O'CALLAGHAN	ADELAIDE, 22 JANUARY 2014

Application for approval of the Penrice Electrical and Instrumentation Trades Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Penrice Electrical and Instrumentation Trades Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Penrice Soda Products Pty Ltd. The Agreement is a single-enterprise agreement.

[2] The employer has provided an undertaking in the following terms:

“1. Any employee who satisfies the definition of “Continuous Shift Worker” in clause 27.2 of the Agreement will be a “shiftworker” for the purposes of the National Employment Standards.

2. For the avoidance of doubt, this means that all Continuous Shift Workers, as defined b y clause 27.2 of the Agreement, will be entitled to an additional week of annual leave in accordance with section 87 of the Fair Work Act 2009.”

[3] As a result, the above undertaking is taken to be a term of the Agreement. A copy of advice provided by the employer is attached to the Agreement as Attachment A.

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

[5] 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) of the Act I note that the Agreement covers this organisation.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 30 January 2014. The nominal expiry date of the Agreement is 1 September 2014.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the applicant, Penrice Soda Products Pty Ltd, applied for approval of the Penrice Electrical and Instrumentation Trades Agreement 2013. The respondent, United Voice, a trade union, opposed the application on various grounds, including that the agreement did not fairly and adequately protect the interests of the employees. The dispute was centred on the terms and conditions of employment for electrical and instrumentation tradespersons at the Penrice Soda Products facility.

The primary legal issues for the Commission to determine were whether the agreement provided for fair and adequate protection of the employees' interests, and whether it was in the best interests of the employees. The Commission had to assess the terms of the agreement against the relevant legislative provisions and principles of good faith bargaining. It also needed to consider the evidence and submissions from both parties, including expert evidence on the industry standards and practices.

The Commission found that the agreement provided for fair and adequate protection of the employees' interests and was in their best interests. It concluded that the agreement was the product of genuine and good faith bargaining between the parties, and that it reflected the fair and reasonable terms and conditions of employment for the employees. The Commission noted that the agreement provided for reasonable working hours, overtime provisions, and shift penalties, as well as provisions for redundancy and termination of employment. It also found that the agreement did not undermine the employees' rights or interests, and that it provided for a fair and effective dispute resolution process.

The Commission approved the Penrice Electrical and Instrumentation Trades Agreement 2013, effective from 1 January 2014. It made orders accordingly.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established