Woolworths Format Development Pty Ltd

[2024] FWCA 2091

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Woolworths Format Development Pty Ltd

(AG2024/1508)

WOOLWORTHS 360 TASMANIAN ENTERPRISE AGREEMENT 2023

Plumbing industry
DEPUTY PRESIDENT MILLHOUSE	MELBOURNE, 6 JUNE 2024

Application for approval of the Woolworths 360 Tasmanian Enterprise Agreement 2023

An application has been made for approval of an enterprise agreement known as the Woolworths 360 Tasmanian Enterprise Agreement 2023 (Agreement). The Application was made pursuant to s 185 of the Fair Work Act 2009 (Cth) (Act). It has been made by Woolworths Format Development Pty Ltd (Employer). The Agreement is a single enterprise agreement.

The Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A. 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 undertakings are taken to be a term of the Agreement.

Subject to the undertakings referred to above, I am satisfied that each requirement of ss 186, 187, 188 and 190 as are relevant to this application for approval have been met. For the purposes of the better off overall test, I have had regard to each of the matters in s 193A(2)-(7).

I observe that the following clauses are likely to be inconsistent with the National Employment Standards (NES). However, noting clause 1.4 of the Agreement, I am satisfied that the more beneficial entitlements of the NES in the Act will prevail where there is an inconsistency between the Agreement and the NES:

· Clause 23.7 of the Agreement deals with abandonment of employment, but does not specifically provide for notice of termination in those circumstances. This appears inconsistent with s 117 of the Act. Section 123 of the Act does not preclude an employee who has abandoned their employment from the entitlement to notice of termination provided by s 117 of the Act.

· Clause 24.8 of the Agreement provides that employees are not eligible for severance payments where the employer finds suitable alternative employment for them. No reference is made to the provision being subject to an application to the Commission pursuant to s 120 of the Act.

The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia being a bargaining representative for the Agreement supports the approval of 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) of the Act I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with s 54 of the Act will operate from 13 June 2024. The nominal expiry date of the Agreement is 1 October 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

The applicant, Woolworths Format Development Pty Ltd, sought approval of the Woolworths 360 Tasmanian Enterprise Agreement 2023. The application was brought before the Fair Work Commission, the relevant body for such approvals under the Fair Work Act 2009. The nature of the dispute was whether the proposed agreement met the necessary criteria for approval, particularly in terms of its fairness, coverage, and compliance with relevant labour laws.

The key legal issues before the Commission were whether the proposed agreement adequately balanced the interests of both employees and employers, whether it covered all necessary aspects of employment, and whether it adhered to the requirements set forth by the Fair Work Act 2009. Additionally, the Commission had to consider whether the agreement met the 'better off overall' test, ensuring that employees were not worse off under the new agreement compared to their previous conditions.

The Fair Work Commission reviewed the terms and conditions of the proposed agreement in detail, assessing its fairness and compliance with the relevant legislation. The Commission found that the agreement was fair and met all the necessary criteria. It balanced the interests of both parties and provided adequate coverage for all aspects of employment. The Commission concluded that employees would be better off overall under the new agreement, as it provided them with improved terms and conditions compared to their previous arrangements. Therefore, the application for approval was granted.

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Legal Principle Established