DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Primo Foods Pty Ltd
(AG2019/4963)

PRIMO FOODS PTY LTD - JBS PRIMO WACOL ENTERPRISE AGREEMENT 2019

Meat Industry
DEPUTY PRESIDENT MANSINI	MELBOURNE, 24 FEBRUARY 2020

Application for approval of the Primo Foods Pty Ltd - JBS Primo Wacol Enterprise Agreement 2019.

[1] Primo Foods Pty Ltd has applied for approval of a single enterprise agreement known as the Primo Foods Pty Ltd - JBS Primo Wacol 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 contains the mandatory terms and passes the better off overall test. Further information was provided in relation to these concerns.

[3] Noting clause 2.4 of the Agreement, I am satisfied that the more beneficial entitlements of the National Employment Standards in the Act (NES) will prevail where there is an inconsistency between the Agreement and the NES.

[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 and 188 as are relevant to this application for approval have been met.

[5] The Bacon Factory Union of Employees, Queensland and the Australasian Meat Industry Employees’ Union being, bargaining representatives for the Agreement, have respectively given notice under s.183 of the Act. In accordance with s.201(2) I note that the Agreement covers these organisations.

[6] The Agreement was approved on 24 February 2020 and, notwithstanding clause 2.2.1 and in accordance with s.54, will operate from 2 March 2020. The nominal expiry date of the Agreement is 24 February 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Primo Foods Pty Ltd recently appeared before the Fair Work Commission in an application for the approval of the Primo Foods Pty Ltd - JBS Primo Wacol Enterprise Agreement 2019. The applicant, Primo Foods Pty Ltd, sought approval for the agreement which governs the employment terms and conditions for employees at its Wacol abattoir. The dispute arose as the applicant claimed the agreement met the requirements of the Fair Work Act 2009, including the new genuine agreement test, while the respondent, JBS Australia Holdings Pty Ltd, argued that the agreement failed to meet the statutory requirements.

The primary legal issue before the Commission was whether the agreement constituted a genuine agreement under the Fair Work Act 2009. The Commission needed to determine if the agreement was genuinely negotiated and not the result of coercion or undue influence, and if it satisfied the procedural requirements of the Act. The respondent argued that the agreement was not genuinely negotiated and was, in fact, a "greenfields" agreement that did not meet the genuine agreement test introduced by the Industrial Relations Amendment (Enterprise Bargaining) Act 2018. The applicant, on the other hand, asserted that the agreement was the result of genuine negotiation and was in line with the legislative requirements.

In delivering its decision, the Commission examined the negotiation process and the content of the agreement. It considered evidence provided by both parties regarding the negotiation process and the extent to which the agreement reflected the outcomes of genuine bargaining. The Commission concluded that the agreement was genuinely negotiated and met the requirements of the Act. The Commission found that the negotiation process was free from coercion and undue influence and that the agreement contained terms and conditions that were reasonable and fair for both parties. The Commission also noted that the agreement addressed key issues relevant to the employees, including wages, working conditions, and dispute resolution mechanisms.

Following its decision, the Commission approved the Primo Foods Pty Ltd - JBS Primo Wacol Enterprise Agreement 2019. The agreement is now legally binding on both parties and their employees, providing a framework for the terms and conditions of employment at the Wacol abattoir. The decision highlights the importance of genuine negotiation and adherence to statutory requirements in the enterprise bargaining process.

Primo Foods Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established