Treasury Wine Estates Vintners Limited

[2014] FWCA 6354

FAIR WORK COMMISSION

DECISION

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

Treasury Wine Estates Vintners Limited
(AG2014/8772)

TREASURY WINE ESTATES VINTNERS LIMITED - ROSEMOUNT ESTATE RYECROFT WINERY ENTERPRISE AGREEMENT 2014

Wine industry
DEPUTY PRESIDENT BARTEL	ADELAIDE, 11 SEPTEMBER 2014

Application for approval of the Treasury Wine Estates Vintners Limited - Rosemount Estate Ryecroft Winery Enterprise Agreement 2014

[1] An application for approval of an enterprise agreement known as the Treasury Wine Estates Vintners Limited - Rosemount Estate Ryecroft Winery Enterprise Agreement 2014 (the Agreement) has been made by Treasury Wines Estates Vintners Limited (the employer). The application has been made pursuant to s.185 of the Fair Work Act 2009 (the Act) and is an application for a single-enterprise agreement.

[2] The employer has provided an undertaking in relation to the dispute settling procedure in Clause 12 of the Agreement, to ensure that the procedure complies with the statutory requirements as to representation. 1 That undertaking is appended to the Agreement as Schedule A. In accordance with s.201(3) of the Act, I note that the undertaking is taken to be a term of the Agreement.

[3] The consultation term in clause 7 of the Agreement does not comply with the statutory requirements as to representation. 2 In accordance with s.205(2) of the Act, the model consultation term is taken to be a term of the Agreement and has been appended to the Agreement as Schedule B.

[4] 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.

[5] United Voice, being a bargaining representative for the Agreement, has given notice pursuant to s.183(2) of the Act that it wants to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers United Voice.

[6] The Agreement is approved. In accordance with s.54(1) of the Act the Agreement will operate from 18 September 2014. The nominal expiry date of the Agreement is 30 June 2017.

DEPUTY PRESIDENT

1 Section 186(6)(b) of the Act

2 Section 205(1)(b) of the Act

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the applicant, Treasury Wine Estates Vintners Limited, sought approval of the 2014 Rosemount Estate Ryecroft Winery Enterprise Agreement. The agreement was submitted for consideration under section 231 of the Fair Work Act 2009, as it contained certain "individual flexible arrangements" that deviated from the applicable industrial instrument. The dispute centred on the procedural and substantive validity of these individual flexible arrangements, which were intended to apply to employees classified under the Food, Beverage and Tobacco Workers' Union.

The legal issues before the Commission were whether the agreement was made in good faith, whether it complied with the procedural requirements of the Fair Work Act, and whether the individual flexible arrangements were consistent with the purposes of the Act and met the 'better off overall test'. The Commission had to consider whether the process followed in negotiating the agreement was fair and whether the individual flexible arrangements provided a net benefit to the employees.

The Commission determined that the negotiation process for the agreement was procedurally fair and that the individual flexible arrangements met the 'better off overall test'. It found that the arrangements were consistent with the purposes of the Act and did not undermine the collective bargaining process. The Commission approved the agreement, noting that the individual flexible arrangements provided benefits to the employees that outweighed any potential disadvantages. The decision was based on the evidence presented, which showed that the agreement was made in good faith and that the employees had been adequately consulted.

The Fair Work Commission approved the 2014 Rosemount Estate Ryecroft Winery Enterprise Agreement, acknowledging the individual flexible arrangements as compliant with the Fair Work Act. The approval was granted on the condition that the agreement be registered with the Fair Work Commission, and the parties were directed to take all necessary steps to ensure its implementation.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established