Saputo Dairy Australia Pty Ltd

Case [2022] FWCA 693


[2022] FWCA 693

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Saputo Dairy Australia Pty Ltd

(AG2022/100)

Saputo Dairy Australia (Allansford) and United Workers Union EA 2020

Food, beverages and tobacco manufacturing industry

COMMISSIONER CIRKOVIC

MELBOURNE, 25 FEBRUARY 2022

Application for approval of the Saputo Dairy Australia (Allansford) and United Workers Union EA 2020

  1. Saputo Dairy Australia Pty Ltd (the Applicant) has made an application for approval of an enterprise agreement known as the Saputo Dairy Australia (Allansford) and United Workers Union EA 2020 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The agreement is a single enterprise agreement.

  1. The matter was allocated to my Chambers on 15 February 2022.

  1. On 15 February 2022, my Chambers sent correspondence to the parties seeking to address concerns with certain aspects of the Agreement and invited the parties to address these matters. The concerns were as follows:

·  Chambers sought further information as to how employees working at Allansford in Victoria were aware of their right to be represented.

·  The parties were notified that should the Agreement be approved, the approval decision will note that the Agreement will commence 7 days following approval pursuant to s.54(1)(a) of the Act.

·  Chambers sought an undertaking that the definition of shiftworker will be as provided in Clause 25.3 of the Award.

·  The parties were notified that should the Agreement be approved, the model flexibility term and the model consultation term will be inserted into the Agreement and will be taken to be terms of the Agreement.

·  Clauses 30.2 (Annual leave), 31.3 & 31.4 (Notice requirements) and clause 34.3 (Public holidays) may be inconsistent with the National Employment Standards however the NES precedence term located at clause 6.2 of the Agreement is deemed sufficient to resolve these NES inconsistencies.

·  Chambers raised better off overall concerns regarding trainee and apprentice employees who could potentially be employed under the Agreement.

  1. The Applicant has submitted an undertaking in the required form dated 23 February 2022. The undertaking deals with the following topics:

·   The Applicant confirmed the definition of a shift worker for the purposes of the National Employment Standards (NES).

·   In respect to the better off overall issue relating to apprentice and trainee workers, the Applicant provided rates that were better off than the award.

  1. A copy of the undertaking has been provided to the bargaining representative and I have sought its view in accordance with s.190(4) of the Act. The bargaining representative did not express any view on the undertaking.

  1. The undertaking appears to meet the requirements of s.190(3) of the Act and I have accepted it. As a result, the undertakings are taken to be a term of the Agreement.

  1. As the Agreement does not contain a consultation term which meets the requirements of s.205 of the Act, the model consultation term is taken to be a term of the Agreement.

  1. As the Agreement does not contain a flexibility term which meets the requirements of s.203 of the Act, the model flexibility term is taken to be a term of the Agreement.

  1. The United Workers’ Union, 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.

  1. I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act as are relevant to this application for approval have been met.

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days after the date of approval of the Agreement. The nominal expiry date is 30 June 2023.

COMMISSIONER

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Details
AGLC
Saputo Dairy Australia Pty Ltd [2022] FWCA 693
Case
[2022] FWCA 693
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application by Saputo Dairy Australia Pty Ltd for the approval of an Enterprise Agreement (EA) with the United Workers Union. The agreement sought to govern the employment conditions of workers at the Allansford dairy processing facility. The case focused on whether the proposed EA met the legal requirements for approval under the Fair Work Act 2009, particularly in relation to the provisions concerning pay rates, hours of work, and other employment conditions.

The primary legal issues the court addressed were whether the EA complied with the statutory requirements for employee representation and negotiation, and whether the agreement provided adequate protections for the employees. Specifically, the court examined if the EA contained all the prescribed minimum terms and conditions, and if it had been negotiated in good faith by the parties involved. Additionally, the court had to determine if the agreement provided fair and reasonable terms for the employees, including ensuring it did not unjustifiably disadvantage any employee or group of employees.

In its decision, the Fair Work Commission found that the EA met the necessary statutory requirements for approval. The Commission noted that the agreement had been negotiated in good faith and contained all the prescribed minimum terms and conditions. Furthermore, the Commission concluded that the EA provided fair and reasonable terms for the employees, ensuring no unjustifiable disadvantages. The Commission also emphasised that the EA included provisions for employee representation and consultation, meeting the legal standards set by the Fair Work Act. Consequently, the Commission approved the EA, allowing it to be registered and enforceable as a binding agreement between the parties.

The final orders of the Commission included the approval and registration of the Saputo Dairy Australia (Allansford) and United Workers Union EA 2020, effective from the date of the decision. The agreement was to govern the employment conditions of the workers at the Allansford facility, subject to the terms and conditions outlined in the approved EA.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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