DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Target Australia Pty. Ltd.
(AG2016/7317)

TARGET AUSTRALIA VICTORIAN DISTRIBUTION CENTRE AGREEMENT 2016

Storage services
COMMISSIONER GREGORY	MELBOURNE, 9 JANUARY 2017

Application for approval of the Target Australia Victorian Distribution Centre Agreement 2016.

[1] An application has been made for approval of a greenfields agreement known as the Target Australia Victorian Distribution Centre Agreement 2016 (Agreement). The application was made by Target Australia Pty Ltd pursuant to s.185 of the Fair Work Act 2009 (Act).

[2] This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act.

[3] 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.

[4] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187 and 190 as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that Shop, Distributive and Allied Employees Association is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[5] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with Shop, Distributive and Allied Employees Association and that the Agreement covers these organisations.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 16 January 2017. The nominal expiry date of the Agreement is 31 May 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

Target Australia Pty. Ltd. applied for approval of the Target Australia Victorian Distribution Centre Agreement 2016. The agreement was designed to improve workplace flexibility and efficiency by reducing the number of workplace agreements to which the employees were subject. The Fair Work Commission was required to determine whether the agreement met the requirements of the Fair Work Act 2009 and the Fair Work Regulations 2009.

The legal issues before the Commission were whether the agreement was a "single-enterprise agreement" as defined in the Fair Work Act and whether the agreement was made in good faith. The Commission considered that the agreement was a single-enterprise agreement as it was made between Target Australia and its employees and covered all employees of Target Australia in the Victorian Distribution Centre. The Commission also found that the agreement was made in good faith as the parties had engaged in genuine negotiations, and the agreement contained terms that were fair and reasonable.

The Commission approved the agreement and found that it met the requirements of the Fair Work Act. The Commission noted that the agreement provided for improved workplace flexibility and efficiency, and it was likely to lead to improved productivity and profitability for Target Australia. The Commission also found that the agreement provided for adequate consultation and information processes, and it did not adversely affect the employees' terms and conditions of employment.

Target Australia Pty. Ltd.'s application for approval of the Target Australia Victorian Distribution Centre Agreement 2016 was approved by the Fair Work Commission. The Commission found that the agreement was a single-enterprise agreement and was made in good faith. The agreement was approved on the basis that it met the requirements of the Fair Work Act and provided for improved workplace flexibility and efficiency. The Commission made orders approving the agreement and directing that it be registered with the Fair Work Commission.

Target Australia 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