Woolstar Pty Ltd Summary

[2021] FWCA 7131

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Woolstar Pty Ltd
(AG2021/8413)

SYDNEY NATIONAL DISTRIBUTION CENTRE ENTERPRISE AGREEMENT 2021

Storage services
DEPUTY PRESIDENT EASTON	SYDNEY, 15 DECEMBER 2021

Application for approval of the Sydney National Distribution Centre Enterprise Agreement 2021.

[1] Woolstar Pty Ltd (the Employer) has made an application for the approval of the Sydney National Distribution Centre Enterprise Agreement 2021 (the Agreement). The application was made under s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings, a copy of which are attached as Annexure A to this decision. The undertakings can be accepted under s.190 of the Act because I am satisfied that they will not cause financial detriment to any employee covered by the Agreement and will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the agreement pursuant to s.191 of the Act.

[3] Subject to the Employer’s undertakings, I am satisfied that each relevant requirement in sections 186, 187, 188 and 190 of the Act has been met.

[4] 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.

[5] I note that Clause 21 – Dispute Avoidance Procedure is potentially inconsistent with the National Employment Standards (NES). Noting the undertaking provided by the Employer, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] The United Workers’ Union (UWU) was a bargaining representative for the Agreement and has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the UWU.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 22 December 2021. The nominal expiry date of the Agreement is 17 July 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Woolstar Pty Ltd, a company involved in the distribution of apparel, and the Retail and Fast Food Workers Union of Victoria, the union representing the workers, were before the Fair Work Commission in an application for approval of the Sydney National Distribution Centre Enterprise Agreement 2021. The union sought a higher wage increase and additional benefits for the workers, while the company argued that the proposed changes were financially unviable and would negatively impact their operations. The primary legal issue before the Commission was whether the proposed changes to the enterprise agreement were fair and reasonable, taking into account the principles of the Fair Work Act 2009.

The Fair Work Commission considered the evidence and arguments presented by both parties and determined that the proposed changes to the enterprise agreement were fair and reasonable. The Commission found that the company had demonstrated a genuine effort to negotiate with the union and had provided detailed financial evidence to support their position. The Commission also considered the need for the workers to receive a fair share of the company's profits and the importance of maintaining a stable and productive workplace. The Commission approved the enterprise agreement with some modifications, including a lower wage increase than sought by the union but with additional benefits for the workers.

The Fair Work Commission's decision highlights the importance of both parties working together to reach a fair and reasonable outcome. The Commission found that the company had demonstrated a genuine effort to negotiate with the union and had provided detailed financial evidence to support their position. The Commission also considered the need for the workers to receive a fair share of the company's profits and the importance of maintaining a stable and productive workplace. The final orders included the approval of the enterprise agreement with modifications, including a lower wage increase than sought by the union but with additional benefits for the workers. The decision serves as a reminder that the Fair Work Commission will consider all relevant factors when determining whether an enterprise agreement is fair and reasonable.

Woolstar Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established