The Smith's Snackfood Company Limited Summary

[2016] FWCA 1871

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

The Smith’s Snackfood Company Pty Ltd

(AG2016/2480)

THE SMITH’S SNACKFOOD COMPANY (SOUTH AUSTRALIA)

ENTERPRISE AGREEMENT 2016-2019

Food, beverages and tobacco manufacturing industry

COMMISSIONER GREGORY

MELBOURNE, 24 MARCH 2016

Application for approval of The Smith’s Snackfood Company (South Australia) Enterprise

Agreement 2016-2019.

[1] An application has been made for approval of an enterprise agreement known as the

The Smith’s Snackfood Company (South Australia) Enterprise Agreement 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 The Smith’s Snackfood Company Pty Ltd. 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.205(2) of the Act, the model consultation term prescribed by the Fair

Work Regulations 2009 is taken to be a term of the Agreement.

[5] 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.

[6] The National Union of Workers, Communications, Electrical, Electronic, Energy,

Information, Postal, Plumbing and Allied Services Union of Australia and “Automotive,

Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian

Manufacturing Workers’ Union (AMWU), being bargaining representatives for the

Agreement, have given notice under s.183 of the Act that they want the Agreement to cover

them. In accordance with s.201(2) I note that the Agreement covers the organisations.
[2016] FWCA 1871

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from

31 March 2016. The nominal expiry date of the Agreement is 28 February 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

[2016] FWCA 1871

Annexure A

[2016] FWCA 1871

CaseChat Overview and Summary

The Smith’s Snackfood Company Pty Ltd applied to the Fair Work Commission for approval of an enterprise agreement, The Smith’s Snackfood Company (South Australia) Enterprise Agreement 2016-2019, under section 185 of the Fair Work Act 2009. The company sought the approval of the agreement, which was intended to cover its employees in South Australia from 31 March 2016 until 28 February 2019. The National Union of Workers, Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia and the Australian Manufacturing Workers’ Union, the bargaining representatives for the agreement, had also given notice under section 183 of the Act that they wanted the agreement to cover them.

The primary legal issue before the Commissioner was whether the agreement met the requirements of sections 186, 187, 188, and 190 of the Act, which pertain to the approval of enterprise agreements. Additionally, the Commissioner had to consider whether the agreement would cause financial detriment to any employee or result in substantial changes to the agreement, as per the company’s written undertakings. The Commissioner also needed to ensure that the model consultation and flexibility terms prescribed by the Fair Work Regulations 2009 were incorporated into the agreement.

The Commissioner found that the agreement met all the relevant requirements of the Act. The company's written undertakings were satisfactory, ensuring that no employee would suffer financial detriment and that there would be no substantial changes to the agreement. Furthermore, the Commissioner noted that the model consultation term and model flexibility term, as prescribed by the Fair Work Regulations 2009, were included in the agreement. Consequently, the Commissioner approved the agreement, and it would operate from 31 March 2016 until 28 February 2019.

The Commissioner approved the The Smith’s Snackfood Company (South Australia) Enterprise Agreement 2016-2019 and directed that it would operate from 31 March 2016 until 28 February 2019. The Commissioner also noted that the model consultation term and model flexibility term, as prescribed by the Fair Work Regulations 2009, were incorporated into the agreement.

The Smith's Snackfood Company Limited

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established