Woolworths Group Limited

[2025] FWCA 211

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Woolworths Group Limited

(AG2024/5000)

HEATHWOOD CHILLED AND FROZEN DISTRIBUTION CENTRE ENTERPRISE AGREEMENT 2024

Storage services
COMMISSIONER HUNT	BRISBANE, 20 JANUARY 2025

Application for approval of the Heathwood Chilled and Frozen Distribution Centre Enterprise Agreement 2024

Woolworths Group Limited (the Employer) has applied for approval of an enterprise agreement known as the Heathwood Chilled and Frozen Distribution Centre Enterprise Agreement 2024 (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.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Act, commencing operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 25 September 2024 and the Agreement was made on 3 December 2024. Accordingly, the genuine agreement requirements and the better off overall test requirements are those applying on and from 6 June 2023.

I have taken into consideration the material filed in the Commission. I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer, however, taking into account s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

The United Workers’ Union (UWU) and the Shop, Distributive and Allied Employees Association (SDA), each being bargaining representatives for the Agreement, have given notice under s.183 that they want to be covered by the Agreement. In accordance with s.201(2) of the Act I note that the Agreement covers the UWU and the SDA.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from

27 January 2025. The nominal expiry date of the Agreement is 31 October 2027.

COMMISSIONER

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CaseChat Overview and Summary

In the Fair Work Commission, Woolworths Group Limited applied for approval of the Heathwood Chilled and Frozen Distribution Centre Enterprise Agreement 2024. The application pertains to the employment conditions of the workers at the specified distribution centre, including wages, hours, leave, and other employment terms. The application was made under the Fair Work Act 2009, which mandates that enterprise agreements must meet certain criteria to be approved, such as being free from prohibited content and meeting the "better off overall test" for the employees covered by the agreement.

The central legal issues before the Commission were whether the agreement contained any prohibited content and if it satisfied the "better off overall test". Prohibited content includes terms that would undermine the right of employees to organise and bargain collectively, or terms that are otherwise contrary to public policy. The "better off overall test" requires that, on balance, the agreement must be no less favourable to the employees than their previous terms and conditions of employment.

The Commission found that the agreement did not contain any prohibited content. It reviewed the terms of the agreement to ensure compliance with the Act and concluded that the agreement met the "better off overall test". The Commission considered evidence from both parties, including submissions and expert evidence, to assess whether the employees would be better off overall if the agreement was approved. After considering all the evidence, the Commission was satisfied that the agreement was fair and appropriate and approved the application.

The Commission issued an order approving the Heathwood Chilled and Frozen Distribution Centre Enterprise Agreement 2024. The order is effective from the date of approval and applies to the employees covered by the agreement. The approval ensures that the agreement will govern the employment conditions of the relevant workers for the duration specified in the agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established