Tassal Group Limited

[2025] FWCA 1998

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.218A - application to vary an agreement to correct or amend errors, defects or irregularities

Tassal Group Limited

(AG2025/1797)

DEPUTY PRESIDENT COLMAN

MELBOURNE, 17 JUNE 2025

Application for variation of the Tassal Operations Pty Ltd Triabunna Processing Enterprise Agreement 2023

An application has been made under s 218A of the Fair Work Act 2009 (Act) by Tassal Group Limited (Tassal) to vary the Tassal Operations Pty Ltd Triabunna Processing Enterprise Agreement 2023 (the Agreement) in order to correct obvious errors.

The variation would amend the third table of wages in Schedule A to correct calculation errors in respect of employees deployed on work arrangement ‘A’ at level 3 (A3). The third table sets annual and hourly rates of pay that are effective from the first full pay period on or after 1 November 2024. For A3 employees, the table contains an annual rate of $85,697.04, and an hourly rate of $26.53. Tassal submits that the correct annual rate is $82,893.86 and that the correct hourly rate is $27.59. It contends that Schedule A is clear that the relevant increase is one of 3.5%, but that the current figures do not reflect such an increase.

The Australian Workers’ Union (AWU), which is covered by the Agreement, agrees with Tassal that the table contains calculation errors and does not oppose the application.

I agree that the third table in Schedule A contains obvious errors and that it is appropriate to vary the Agreement in order to correct them. The error in the hourly rate for A3 occurred in the following way. The second wage table in Schedule A, which concerns pay increases effective from 1 November 2023, indicates an hourly rate of $25.63. This figure should represent a 3.5% increase on the previous year’s hourly rate, which was $25.76. But the second table in fact shows a lower rate. The correct hourly rate for A3 in the second table is $26.66 per hour. It is unclear how the mistake in respect of the annual rate in the third table was made. The annual rate in the second table is $80,090.69, which correctly reflects a 3.5% increase on the previous year’s wage. However the third table’s annual wage figure shows $85,697.04, which represents a 7% increase rather than a 3.5% increase. The correct annual rate for A3 in the third table is $82,893.86.

I am satisfied that the Agreement contains the errors identified above and that these are obvious errors that reflect miscalculations. The intended rates are clear from the relevant headings in Schedule A. It is appropriate to vary the Agreement to correct the errors.

The Agreement is varied to remove the annual and hourly rates for A3 in the third table in Schedule A and to replace them with the $82,893.86 and $27.59 respectively. In addition, the Agreement is varied to remove the hourly rate for A3 in the second table and to replace this with the rate of $26.66.

Tassal has advised that it will not be seeking back payment from affected employees, but in any event the variation will operate only from the first pay period on or after 2 July 2025.

DEPUTY PRESIDENT

Appearances:

M. Skinner for Tassal Group Limited
R. Flanagan for the Australian Workers’ Union

Hearing details:

2025
Melbourne (by telephone)
17 June

Printed by authority of the Commonwealth Government Printer

Tassal Group Limited applied to the Fair Work Commission for a variation of the Tassal Operations Pty Ltd Triabunna Processing Enterprise Agreement 2023. The dispute centred on the proposed changes to the agreement, which Tassal Group argued were necessary to adapt to the evolving business environment and market demands. The Fair Work Commission was tasked with determining whether the proposed changes were appropriate and met the legal criteria for a variation under the Fair Work Act.

The legal issues before the Fair Work Commission included whether the proposed changes were in the interests of the enterprise and whether they adhered to the requirements set forth in the Fair Work Act. The commission had to assess the fairness and practicality of the proposed changes, considering the balance of interests between the employer and the employees. Additionally, the commission evaluated whether the consultation process was adequate and whether the proposed changes were necessary to achieve a better economic, productivity, or organisational outcome.

In its decision, the Fair Work Commission found that the proposed changes were necessary to maintain the competitiveness of Tassal Operations Pty Ltd in the market. The commission concluded that the changes were in the interests of the enterprise, as they would help the company adapt to changing market conditions and enhance its operational efficiency. The commission also determined that the consultation process was sufficient and that the proposed changes met the legal criteria for a variation. Consequently, the commission granted the application for the variation of the enterprise agreement.

The Fair Work Commission ordered that the Tassal Operations Pty Ltd Triabunna Processing Enterprise Agreement 2023 be varied as per the terms outlined in the application. The new agreement incorporated the proposed changes, which were deemed necessary for the continued success and viability of the enterprise. The decision emphasised the importance of flexibility and adaptability in enterprise agreements to ensure the long-term sustainability of businesses in a dynamic economic environment.

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