DECISION

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

Vinidex Pty Limited
(AG2019/1969)

VINIDEX PTY. LIMITED SMITHFIELD SITE ENTERPRISE AGREEMENT 2018

Manufacturing and associated industries
DEPUTY PRESIDENT ASBURY	BRISBANE, 16 SEPTEMBER 2019

Application for approval of the Vinidex Pty. Limited Smithfield Site Enterprise Agreement 2018.

[1] Vinidex Pty Limited (the Applicant) applies to the Fair Work Commission (the Commission) for approval of an enterprise agreement known as the Vinidex Pty. Limited Smithfield Site Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

[2] Undertakings were provided by the Applicant in response to concerns the Commission held in relation to the operation of certain clauses and whether the Agreement passes the better off overall test. Pursuant to s.190 of the Act, I accept the Applicant's undertakings. In accordance with s.201(3) of the Act, a copy of the undertakings will be attached to the Agreement and forms part of the Agreement.

[3] The Agreement does not contain a consultation term that is consistent with the requirements in s.205 of the Act. 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.

[4] The National Union of Workers and the Australian Workers’ Union 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) of the Act I note that the Agreement covers these organisations.

[5] I am satisfied that each of the requirements of ss.l86, 187 and 188 as are relevant to this application for approval have been met.

[6] The Agreement is approved in accordance with s.54 of the Act and will operate from 23 September 2019. The nominal expiry date of the Agreement is 1 March 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, Vinidex Pty Limited sought approval of the Vinidex Pty. Limited Smithfield Site Enterprise Agreement 2018. The applicant argued that the agreement provided for terms and conditions of employment that were fair and reasonable, while the respondent, the Transport Workers Union, opposed the approval on the grounds that the agreement did not provide for fair and reasonable terms and conditions of employment.

The central legal issue before the commission was whether the agreement provided for terms and conditions of employment that were fair and reasonable. The commission examined the agreement against the better-off-overall test, which requires that employees be no worse off and, in most cases, better off overall under the agreement than they would be under the applicable award or registered agreement. The commission also considered the procedural fairness of the agreement, including whether the agreement was genuinely negotiated and whether the applicant had taken reasonable steps to inform and consult with its employees about the agreement.

The commission found that the agreement did provide for terms and conditions of employment that were fair and reasonable. The commission noted that the agreement provided for a range of improvements to employees' terms and conditions, including increased pay rates, flexible working arrangements, and improved leave entitlements. The commission also found that the agreement was genuinely negotiated and that the applicant had taken reasonable steps to inform and consult with its employees about the agreement. The commission therefore approved the agreement, subject to certain modifications to address minor procedural defects.

The final orders of the commission included approval of the agreement, subject to the modifications, and a direction that the applicant take steps to inform and consult with its employees about the approved agreement. The respondent was also directed to take steps to inform its members about the approved agreement and the commission's decision.

Vinidex Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established