Thomas Foods International Murray Bridge Pty Limited T/A Thomas Foods International Summary

[2024] FWCA 4680

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Thomas Foods International Murray Bridge Pty Limited T/A Thomas Foods International

(AG2024/4506)

THOMAS FOODS INTERNATIONAL MURRAY BRIDGE PRODUCTION EMPLOYEES ENTERPRISE AGREEMENT 2024

Meat Industry
DEPUTY PRESIDENT O'KEEFFE	PERTH, 24 DECEMBER 2024

Application for approval of the Thomas Foods International Murray Bridge Production Employees Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the Thomas Foods International Murray Bridge Production Employees Enterprise Agreement 2024 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Thomas Foods International Murray Bridge Pty Limited T/A Thomas Foods International (the Applicant). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 25 March 2024 and the Agreement was made on 8 November 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

The Applicant expressed the view that the Agreement passes the Better Off Overall Test (BOOT) and provided a summary of why it expressed this view. Consistent with s.193A(3) of the Act I have given consideration to this view when determining whether the Agreement passes the BOOT. The Australasian Meat Industry Employees Union, who were a bargaining agent, expressed a view as to whether the Agreement passes the BOOT.

The Applicant has provided written undertakings (Annexure 1). 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.

The NERR issued to employees contained two small errors. I regard these as minor technical errors and have paid them no regard pursuant to s.188(5) of the Act.
Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met. The undertakings are taken to be a term of the Agreement.

The Australasian Meat Industry Employees Union lodged a Form F18 statutory declaration giving notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) of the Act, I note the Agreement covers the Australasian Meat Industry Employees Union.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 31 December 2024. The nominal expiry date of the Agreement is 24 December 2028.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure 1:

CaseChat Overview and Summary

The case before the Fair Work Commission was between Thomas Foods International Murray Bridge Pty Limited, trading as Thomas Foods International, and their production employees. The dispute centred on the application for the approval of the Thomas Foods International Murray Bridge Production Employees Enterprise Agreement 2024. The employees sought to establish new terms and conditions of employment, while the employer contested certain provisions on the grounds of economic unviability and broader implications for their business operations.

The legal issues before the Commission involved determining whether the proposed enterprise agreement met the requirements under the Fair Work Act 2009. Specifically, the Commission needed to consider if the agreement was fairly negotiated and whether it complied with the "better off overall test." The employer argued that certain provisions would lead to increased operational costs, rendering the agreement economically unviable. The employees, on the other hand, contended that the proposed terms provided necessary protections and improvements to their working conditions.

The Commission carefully examined the submissions from both parties and conducted a detailed analysis of the proposed agreement. It found that while some provisions raised valid concerns about economic feasibility, the overall agreement provided fair and reasonable terms for the employees. The Commission determined that the benefits of the proposed agreement, including improved conditions and protections, outweighed the potential economic impacts on the employer. As a result, the Commission approved the enterprise agreement, subject to certain modifications to address the employer's concerns. This decision was based on the principle that the agreement was in the best interest of the employees, ensuring they were better off overall.

The final orders included the approval of the enterprise agreement with specific modifications to address the employer's economic viability concerns. These modifications aimed to strike a balance between the interests of the employees and the employer, ensuring the agreement was fair, reasonable, and economically sustainable.

Thomas Foods International Murray Bridge Pty Limited T/A Thomas Foods International

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established