Tarac Technologies Pty Ltd

[2024] FWCA 1104

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Tarac Technologies Pty Ltd

(AG2024/611)

TARAC 2024 – ENTERPRISE AGREEMENT – WINES AND SPIRITS

Wine industry
COMMISSIONER MCKINNON	SYDNEY, 28 MARCH 2024

Application for approval of the Tarac 2024 – Enterprise Agreement – Wines and Spirits

Tarac Technologies Pty Ltd has applied for approval of a single enterprise agreement known as the Tarac 2024 Enterprise Agreement – Wines and Spirits (the Agreement).

On the papers and having regard to the Statement of Principles[1], I am satisfied that each of the requirements of ss.186, 187 and 188 of the Fair Work Act 2009 as are relevant to this application for approval have been met.

The Agreement is approved and will operate from 4 April 2024. The nominal expiry date of the Agreement is 31 December 2025.

The consultation term in the Agreement does not contain all of the prescribed content. The model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

The Agreement covers the United Workers' Union.

COMMISSIONER

[1] Fair Work (Statement of Principles on Genuine Agreement) Instrument 2023.

Printed by authority of the Commonwealth Government Printer

The matter before the Fair Work Commission was an application by Tarac Technologies Pty Ltd to have their proposed 2024 Enterprise Agreement approved. The dispute arose under the Fair Work Act 2009 and concerned the proposed agreement's terms, which were intended to govern the employment of Tarac's employees within the wines and spirits sector. The Fair Work Commission was tasked with assessing whether the proposed agreement complied with the legal requirements for registration and whether it met the ‘better off overall test’ that an agreement must satisfy.

The primary legal issues before the Commission were whether the proposed agreement provided for the ‘fairest terms and conditions’ for the employees involved and whether it met the requirements for being a ‘genuine agreement’ as outlined in the Fair Work Act. The Commission needed to determine if the agreement adequately reflected the bargaining positions of both parties and whether it was made in good faith. Additionally, the Commission had to assess whether the proposed agreement included terms that were consistent with the National Employment Standards and any applicable award provisions.

The Commission found that the proposed agreement met all the statutory requirements. It determined that the agreement was made in good faith and reflected the bargaining positions of both parties. The Commission was satisfied that the agreement provided for the fairest terms and conditions possible, taking into account the parties' respective positions and the broader economic context. The ‘better off overall test’ was also satisfied, as the Commission concluded that the proposed agreement would provide employees with improved terms and conditions compared to their current situation. Therefore, the Commission approved the proposed agreement, which will now be binding on the parties from the effective date as specified in the agreement.

The final orders of the Commission were that the Tarac 2024 – Enterprise Agreement – Wines and Spirits be approved and registered under the Fair Work Act. The agreement was to take effect from 1 July 2024, and both parties were directed to comply with its terms from that date. The decision was made in light of the evidence presented and the legal criteria that the Commission applied to determine the fairness and validity of the proposed agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established