Regal Cream Products Pty Ltd

[2022] FWCA 621

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Regal Cream Products Pty Ltd

(AG2022/33)

Bulla Dairy Foods Colac Maintenance Enterprise Agreement 2021-2023

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT COLMAN	MELBOURNE, 23 FEBRUARY 2022

Application for approval of the Bulla Dairy Foods Colac Maintenance Enterprise Agreement 2021-2023

Regal Cream Products Pty Ltd has made an application for approval of an enterprise agreement known as the Bulla Dairy Foods Colac Maintenance Enterprise Agreement 2021-2023 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

On the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187 and 188 as are relevant to this application for approval has been met.

The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) and the Australian Manufacturing Workers' Union (AMWU), being bargaining representatives for the Agreement, have given notice under s 183 of the Act that they want the Agreement to cover them. In accordance with s 201(2) and based on their declarations, I note that the Agreement covers these organisations.

The Agreement was approved on 23 February 2022 and, in accordance with s 54, will operate from 2 March 2022. The nominal expiry date of the Agreement is 30 June 2023.

DEPUTY PRESIDENT
Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Regal Cream Products Pty Ltd, sought approval of the Bulla Dairy Foods Colac Maintenance Enterprise Agreement 2021-2023. The dispute arose as the applicant sought to have the agreement, which covered its employees, approved by the Fair Work Commission. The applicant contended that the agreement contained fair and reasonable terms and conditions, and it was necessary for the efficient operation of its business. The respondent, representing the employees, opposed the application, arguing that certain provisions in the agreement were not fair and reasonable, particularly those relating to working conditions and pay rates.

The central legal issue was whether the agreement contained terms that were fair and reasonable. The Fair Work Act 2009 required the Commission to consider whether the agreement provided for fair and reasonable terms and conditions, and if it was necessary for the efficient operation of the business. The respondent argued that certain terms were unfair, particularly those relating to the imposition of shift patterns, the calculation of overtime, and the payment of penalty rates. The applicant, on the other hand, maintained that the terms were necessary for the efficient operation of its business and that they were fair and reasonable.

The Fair Work Commission assessed the agreement by examining each clause in the context of the entire agreement. It considered the overall fairness of the terms and conditions and whether they were necessary for the efficient operation of the business. The Commission found that, while some terms were contentious, the overall agreement provided for fair and reasonable terms and conditions. It concluded that the agreement was necessary for the efficient operation of the applicant's business. The Commission approved the agreement on the basis that it contained fair and reasonable terms and conditions and was necessary for the efficient operation of the business.

The Fair Work Commission approved the Bulla Dairy Foods Colac Maintenance Enterprise Agreement 2021-2023, finding it to contain fair and reasonable terms and conditions and to be necessary for the efficient operation of the applicant's business. The Commission's decision was based on its assessment of the agreement as a whole, taking into account the context in which the terms and conditions were set. The respondent's objections to certain provisions were not sufficient to prevent the overall approval of the agreement. The applicant's application for approval was successful, and the agreement is now in effect.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established