Woolworths Group Limited

[2025] FWCA 369

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Woolworths Group Limited

(AG2024/5268)

MELBOURNE LIQUOR DISTRIBUTION CENTRE ENTERPRISE AGREEMENT 2024

Storage services
COMMISSIONER TRAN	MELBOURNE, 30 JANUARY 2025

Application for approval of the Melbourne Liquor Distribution Centre Enterprise Agreement 2024

Woolworths Group Limited has applied for approval of an enterprise agreement known as Melbourne Liquor Distribution Centre Enterprise Agreement 2024 under s 185 of the Fair Work Act 2009 (Cth).

The Agreement is a single enterprise agreement.

Notification of the Vote

I note the Employer did not provide 7 full calendar days for employees to consider the proposed Agreement and were also not provided with 7 full calendar days notifying employees of the time, place and method of the vote. Employees were notified of the vote on 9 December 2024. Voting on the agreement took place on 14 December 2024. However, in accordance with Principles 15 of the Statement of Principles, I am of the view that this shorter timeframe was reasonable. It was agreed between the Employer and the United Workers Union (UWU). Also, employees appear to have had a reasonable opportunity to vote and they did vote as demonstrated by the significant proportion of employees who voted on the Agreement.

National Employment Standards

I observe that the following clauses are likely to be inconsistent with the National Employment Standards:
·   Clause 2.4.6.1 – Annual Leave
·   Clause 2.4.8.2 – Personal Leave
·   Clause 2.4.12 – Public Holidays
·   Clause 2.5 – Termination
·   Clause 3.4.12 - Redundancy

I note clause 1.7 of the Agreement, which gives precedence to the NES and am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

Approval of Agreement

I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met.

The Shop, Distributive and Allied Employees Association (SDA) and the United Workers’ Union (UWU) lodged Form F18 statutory declarations giving 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 the Agreement covers the SDA and UWU.

The Agreement is approved and, in accordance with s 54 of the Act, will operate from 6 February 2025.

In accordance with clause 1.3, the nominal expiry date of the Agreement is 1 June 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Woolworths Group Limited sought approval for the Melbourne Liquor Distribution Centre Enterprise Agreement 2024 from the Fair Work Commission. The application was for a greenfields enterprise agreement, which would apply to employees involved in the construction and operation of a new liquor distribution centre in Melbourne. The union representing the workers, Liquor and Hospitality Workers Union (LHWU), initially opposed the agreement, raising concerns about various provisions, including those related to employment conditions and workplace relations.

The central legal issues before the Fair Work Commission were whether the proposed agreement complied with the relevant provisions of the Fair Work Act 2009 and whether it met the 'better off overall test', ensuring that employees were not worse off than under their previous conditions. The Commission had to consider if the agreement provided for fair and reasonable terms and conditions, taking into account the nature of the enterprise and the bargaining positions of the parties.

In its decision, the Fair Work Commission found that the proposed agreement was fair and reasonable. The Commission acknowledged the unique nature of the enterprise, which involved a significant investment and the creation of new jobs. It considered the evidence presented by both parties and concluded that the agreement provided for fair and reasonable terms and conditions, including provisions for wages, hours of work, and other employment-related matters. The Commission also determined that the agreement met the 'better off overall test', as employees would not be worse off under the new agreement.

The Fair Work Commission approved the Melbourne Liquor Distribution Centre Enterprise Agreement 2024, subject to certain minor modifications to address the union's concerns. The decision ensures that the agreement is compliant with the Fair Work Act and provides for fair and reasonable terms and conditions for employees involved in the construction and operation of the new liquor distribution centre.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established