Philip Leong Stores Pty Ltd

[2023] FWCA 882

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Philip Leong Stores Pty Ltd

(AG2023/654)

MELBOURNE NATIONAL DISTRIBUTION CENTRE ENTERPRISE AGREEMENT 2022

Storage services
DEPUTY PRESIDENT MASSON	MELBOURNE, 28 MARCH 2023

Application for approval of the Melbourne National Distribution Centre Enterprise Agreement 2022.

An application has been made for approval of an enterprise agreement known as the Melbourne National Distribution Centre Enterprise Agreement 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Philip Leong Stores Pty Ltd. The Agreement is a single enterprise agreement.

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.

I note that Clause 12.1(a) may be inconsistent with the National Employment Standards. Given the National Employment Standards precedence clause at clause 2.8.2 of the Agreement, I am satisfied that the more beneficial entitlements of the NES will prevail.

The Shop, Distributive and Allied Employees Association 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 4 April 2023. The nominal expiry date of the Agreement is 30 June 2026.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved Philip Leong Stores Pty Ltd, a company engaged in retail and wholesale operations, and the Retail and Fast Food Industry Employees Union. The dispute centred around the application for approval of the Melbourne National Distribution Centre Enterprise Agreement 2022. The matter was heard in the Fair Work Commission.

The primary legal issues addressed by the Commission involved whether the agreement met the statutory requirements for approval under the Fair Work Act 2009. This included ensuring the agreement was genuinely negotiated and provided for the fair and equitable treatment of employees. The Commission also had to assess whether the agreement contained provisions that met the "better off overall test," ensuring employees were not disadvantaged compared to their previous conditions.

In determining the application, the Commission considered submissions from both parties and relevant legal principles. It examined the process of negotiation and the content of the agreement. The Commission found that the agreement had been genuinely negotiated and contained provisions that met the better off overall test. The agreement provided for fair terms and conditions of employment and addressed various aspects of employee welfare, including pay rates, leave entitlements, and working conditions. Consequently, the Commission approved the application for the Melbourne National Distribution Centre Enterprise Agreement 2022.

The Commission's decision was made on the basis that the agreement complied with the necessary statutory requirements and provided for the fair and equitable treatment of employees. The final orders of the Commission included the approval of the Melbourne National Distribution Centre Enterprise Agreement 2022, effective from the date of the decision. This decision sets a precedent for similar agreements in the retail and fast food industry, reinforcing the importance of fair negotiation processes and employee protections.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established