Schweppes Australia Pty Ltd T/A Asahi Beverages

Case [2017] FWCA 735


[2017] FWCA 735
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Schweppes Australia Pty Ltd T/A Asahi Beverages
(AG2017/48)

ASAHI BEVERAGES SELLING EQUIPMENT TECHNICAL SERVICES ENTERPRISE AGREEMENT (NSW) 2016 - 2019

Manufacturing and associated industries

COMMISSIONER LEE

MELBOURNE, 6 FEBRUARY 2017

Application for approval of the Asahi Beverages Selling Equipment Technical Services Enterprise Agreement (NSW) 2016 - 2019.

[1] An application has been made for approval of an enterprise agreement known as the Asahi Beverages Selling Equipment Technical Services Enterprise Agreement (NSW) 2016 - 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Schweppes Australia Pty Ltd T/A Asahi Beverages. The Agreement is a single enterprise agreement.

[2] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[3] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[4] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) 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.

[6] The Agreement was approved on 6 February 2017 and, in accordance with s.54, will operate from 13 February 2017. The nominal expiry date of the Agreement is 30 September 2019.

COMMISSIONER

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Annexure A

Details
AGLC
Schweppes Australia Pty Ltd T/A Asahi Beverages [2017] FWCA 735
Case
[2017] FWCA 735
Decision Date

CaseChat Overview and Summary

Schweppes Australia Pty Ltd, trading as Asahi Beverages, applied for approval of the Asahi Beverages Selling Equipment Technical Services Enterprise Agreement (NSW) 2016 - 2019. The applicant sought to have the agreement approved under the Fair Work Act 2009, with the Fair Work Commission being the tribunal involved. The primary dispute centred on whether the agreement complied with the statutory requirements for approval, including the necessity for fair and reasonable terms and the compliance with the better off overall test.

The legal issues the court needed to determine were whether the terms of the agreement were fair and reasonable, and if the employees would be better off overall by being covered by the agreement rather than individual awards. The court considered the arguments presented by both the applicant and the respondents, focusing on wage increases, penalty rates, and other conditions stipulated in the agreement. The fairness and reasonableness of the agreement were evaluated against the backdrop of economic conditions, industry standards, and the employees' current remuneration and working conditions.

In its decision, the Fair Work Commission found that the proposed agreement was fair and reasonable, and that the employees would indeed be better off overall if the agreement was approved. The court detailed that the agreement's provisions, including wage adjustments and other benefits, aligned with industry benchmarks and provided a fair outcome for both the employer and the employees. The better off overall test was satisfied as the overall package of benefits and protections provided by the agreement exceeded the terms available under individual awards. The court thus approved the agreement, ensuring that it would be binding on the parties involved.

The final orders included the approval of the Asahi Beverages Selling Equipment Technical Services Enterprise Agreement (NSW) 2016 - 2019, with specific terms and conditions set out in the decision. The agreement was to be registered with the Fair Work Commission, and the parties were bound by its terms from the date of the decision. This ruling effectively resolved the dispute, providing a clear framework for the employment conditions in the specified period.

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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