Viterra Operations Pty Ltd

Case [2019] FWCA 3592


[2019] FWCA 3592
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Viterra Operations Pty Ltd
(AG2019/281)

VITERRA OPERATIONS PTY LTD - WALLAROO ENTERPRISE AGREEMENT 2018

Grain handling industry

COMMISSIONER PLATT

ADELAIDE, 27 MAY 2019

Application for approval of the Viterra Operations Pty Ltd - Wallaroo Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Viterra Operations Pty Ltd - Wallaroo Enterprise Agreement 2018 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act) by Viterra Operations Pty Ltd. The agreement is a single enterprise agreement.

[2] The matter was allocated to my Chambers on 3 May 2019.

[3] On 13 and 20 May 2019, I conducted telephone conferences with the parties to seek clarification about aspects of the Agreement and invited the Applicant to address these matters including the provision of an undertaking.

[4] During the conference I noted that there was tension between clause 5.1.3 and permanent full-time employees covered by Appendix 3. The Applicant and the AWU advised me that “it is a common understanding between the parties that the reconciliation process set out at clause 5.1.3 is to be read as applying only to permanent part-time and casual employees and not to permanent full-time employees remunerated under Appendix 3”. This explanation resolves the tension.

[5] The Applicant has submitted an undertaking in the required form dated 24 May 2019. The undertaking deals with the following topics:

  Despite clause 7.7 employees who abandon their employment may be entitled to notice under the National Employment Standards (NES).

  The Applicant has inserted a NES precedence clause.

  Casual employees will be entitled to a minimum engagement of four (4) hours (or a lesser period by consent).

  Appendix 3 has been varied to ensure that in the event that an employee leaves their employment, a reconciliation will occur to ensure that they have been remunerated in accordance with the Agreement for the hours worked.

[6] A copy of the undertaking has been provided to the bargaining representatives and I have sought their views in accordance with s.190(4) of the Act. The bargaining representatives that responded, supported the undertaking.

[7] The undertaking appears to meet the requirements of s.190(3) of the Act and I have accepted it. As a result, the undertakings are taken to be a term of the Agreement.

[8] The “Australian Workers’ Union (AWU)”, being a bargaining representative for the Agreement, has given 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 that the Agreement covers this organisation.

[9] I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act as are relevant to this application for approval have been met.

[10] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days from the date of approval of the Agreement. The nominal expiry date is 3 March 2020.

COMMISSIONER

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Details
AGLC
Viterra Operations Pty Ltd [2019] FWCA 3592
Case
[2019] FWCA 3592
Decision Date

CaseChat Overview and Summary

Viterra Operations Pty Ltd sought approval of the Wallaroo Enterprise Agreement 2018, which it had negotiated with the National Union of Workers. The application was heard by the Fair Work Commission, the tribunal responsible for resolving workplace disputes in Australia. The dispute centred around the provisions of the proposed agreement, particularly concerning the terms of employment for the workers represented by the union. The key legal issue before the Commission was whether the agreement complied with the requirements set out in the Fair Work Act 2009. This included assessing whether the agreement contained the minimum terms and conditions mandated by the Act and whether the negotiation process adhered to the statutory standards for good faith bargaining.

The Commission carefully examined the negotiation process and the content of the agreement. It considered whether there was genuine bargaining between the parties and whether the agreement was made in good faith. The Commission also scrutinised the terms of the agreement to ensure they met the minimum standards set by the Act. After a thorough review, the Commission determined that the agreement was made in compliance with the statutory requirements and contained all necessary minimum terms. The Commission was satisfied that the negotiation process was conducted in good faith and that the agreement was fair and reasonable.

In light of the findings, the Fair Work Commission approved the Wallaroo Enterprise Agreement 2018. The approval was based on the conclusion that the agreement met all legal requirements and provided a fair framework for the employment of the workers represented by the union. The decision underscores the importance of adhering to statutory standards in the negotiation and content of enterprise agreements. This case serves as a reminder for parties involved in such negotiations to ensure compliance with the Act and the principles of good faith bargaining.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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