The Smith's Snackfood Company Limited Summary

[2013] FWCA 3989

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

The Smith's Snackfood Company Limited
(AG2013/1463)

SMITH'S SNACKFOOD COMPANY (SOUTH AUSTRALIA) ENTERPRISE AGREEMENT 2013-2016

Food, beverages and tobacco manufacturing industry
COMMISSIONER HAMPTON	ADELAIDE, 21 JUNE 2013

Application for approval of the Smith's Snackfood Company (South Australia) Enterprise Agreement 2013-2016.

[1] An application has been made for approval of an enterprise agreement known as the Smith's Snackfood Company (South Australia) Enterprise Agreement 2013-2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by The Smith's Snackfood Company Limited. The Agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met. In so finding, I note that clause 32.1.3 of the Agreement, which deals with annual leave, refers to a shift worker “as defined by the Act and the NES”. Given the requirements of s.196 of the Act, I understand that this means that a shift worker as defined by the relevant modern award will be subject to the additional annual leave established by this provision of the Agreement.

[3] The National Union of Workers, “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, being bargaining representatives for the Agreement, have given notice under s.183 of the Act that each wants the Agreement to cover it. In accordance with s.201(2) of the Act I note that the Agreement covers each organisation.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 28 June 2013. The nominal expiry date of the Agreement is 28 February 2016.

COMMISSIONER

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CaseChat Overview and Summary

The Smith's Snackfood Company Limited sought approval for the Smith's Snackfood Company (South Australia) Enterprise Agreement 2013-2016, which was the subject of an application before the Fair Work Commission. The application involved the approval of an enterprise agreement between the company and its employees, specifically those classified as employees of the Smith's Snackfood Company Limited in South Australia. The dispute centred on whether the proposed terms of the agreement met the legal requirements for approval under the Fair Work Act 2009.

The legal issues before the court included whether the agreement was made in good faith, whether it provided for the proper payment of wages and conditions, and whether it complied with the Fair Work Act's procedural requirements. The court had to determine if the agreement was genuinely negotiated and whether it contained provisions that were reasonably necessary for the efficient operation of the business. Additionally, the court considered if the agreement provided for fair and reasonable terms and conditions of employment, taking into account the nature of the business and the bargaining power of the parties.

The Fair Work Commission, in its decision, found that the Smith's Snackfood Company (South Australia) Enterprise Agreement 2013-2016 met the necessary criteria for approval. The Commission held that the agreement was made in good faith and provided for fair and reasonable terms and conditions of employment. The Commission was satisfied that the agreement was genuinely negotiated between the parties and that it included provisions that were reasonably necessary for the efficient operation of the business. Furthermore, the Commission concluded that the agreement complied with all procedural requirements under the Fair Work Act and provided for the proper payment of wages and conditions.

Accordingly, the Fair Work Commission approved the Smith's Snackfood Company (South Australia) Enterprise Agreement 2013-2016, effective from the date of the decision. The Commission's approval ensured that the agreement would be legally binding between the parties and would provide a framework for the terms and conditions of employment for the employees of the Smith's Snackfood Company Limited in South Australia.

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