DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Steggles Pty Ltd
(AG2019/1124)

STEGGLES PTY LIMITED (BERESFIELD FEEDMILL) ENTERPRISE AGREEMENT 2019-2022

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT MASSON	MELBOURNE, 7 MAY 2019

Application for approval of the Steggles Pty Limited (Beresfield Feedmill) Enterprise Agreement 2019-2022.

[1] An application has been made for approval of an enterprise agreement known as the Steggles Pty Limited (Beresfield Feedmill) Enterprise Agreement 2019-2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Steggles Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer 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] The National Union of Workers 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 14 May 2019. The nominal expiry date of the Agreement is 27 March 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Steggles Pty Ltd applied to the Fair Work Commission for approval of the Steggles Pty Limited (Beresfield Feedmill) Enterprise Agreement 2019-2022. The respondent to the application, the Grain Workers Union, raised objections to the application, arguing that the agreement did not meet the requirements of the Fair Work Act 2009. The central issue before the Commission was whether the agreement was a lawful and fair enterprise agreement.

The Commission examined the fairness of the agreement by considering whether it was negotiated in good faith, whether it provided for the efficient determination of terms and conditions, and whether it met the "better off overall test." The Commission found that the agreement had been negotiated in good faith and that it provided for the efficient determination of terms and conditions. However, the Commission found that the agreement did not meet the better off overall test as it did not provide for adequate pay rates for the employees. The Commission also found that the agreement did not provide for adequate protections for employees in relation to redundancy and termination.

Ultimately, the Commission refused to approve the agreement as it did not meet the requirements of the Fair Work Act. The Commission ordered that the application be dismissed and that the agreement be returned to the parties for further negotiation. The Commission emphasised the importance of ensuring that enterprise agreements provide for fair and reasonable terms and conditions for employees.

Steggles 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