Decision: Costaexchange Pty LTD T/A Costa (Berry Category)
Decision: Costaexchange Pty LTD T/A Costa (Berry Category)
Decision: Costaexchange Pty LTD T/A Costa (Berry Category)
DECISION
Fair Work Act 2009
s.185—Enterprise agreement
Application for approval of the Costa (Berry Category) Enterprise Agreement 2019 - 2023.
[1] An application has been made for approval of an enterprise agreement known as the
Costa (Berry Category) Enterprise Agreement 2019 - 2023 (the Agreement). The application
was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Costa
Exchange Pty Ltd T/A Costa (Berry Category). The Agreement is a single enterprise
agreement. A decision1 dealing with preliminary issues was issued by the Fair Work
Commission on 6 December 2019.
[2] The Employer has provided written undertakings. A copy of the undertakings is
attached in 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.
[4] Subject to the Undertakings, 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.
[6] The Australian Workers’ Union, 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) I note that the Agreement covers the organisation.
1
[2019] FWCA 8448
[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from
20 December 2019. The nominal expiry date of the Agreement is 30 June 2023.
COMMISSIONER
<AE506474 PR715262>
Endnote:
1
[2019] FWC 8291.
2
3
[2019] FWCA 8448
4
[2019] FWCA 8448
Annexure A
5
[2019] FWCA 8448
6
[2019] FWCA 8448
7
Note - this agreement is to be read together with an undertaking given by the
employer. The undertaking is taken to be a term of the agreement. A copy of it
can be found at the end of the agreement.
2. AGREEMENT CLAUSES
1. TITLE ................................................................................................................................................ 1
2. AGREEMENT CLAUSES..................................................................................................................... 1
3. AREA, INCIDENCE AND PARTIES BOUND ........................................................................................ 2
4. DATE AND PERIOD OF OPERATION ................................................................................................. 2
5. RELATIONSHIP TO AWARDS AND STANDARDS ............................................................................... 2
6. NO EXTRA CLAIMS ........................................................................................................................... 3
7. AIMS OF AGREEMENT ..................................................................................................................... 3
8. CONSULTATION............................................................................................................................... 3
9. ACCEPTABLE BEHAVIOUR ............................................................................................................... 5
10. INDIVIDUAL FLEXIBILITY ARRANGEMENTS ..................................................................................... 5
11. GRANDFATHERING PROVISIONS ..................................................................................................... 6
12. TYPES OF EMPLOYMENT ................................................................................................................. 7
13. TERMINATION OF EMPLOYMENT AND REDUNDANCY ................................................................... 7
14. RIGHT TO REQUEST CASUAL CONVERSION..................................................................................... 8
15. ORDINARY HOURS......................................................................................................................... 10
16. REASONABLE ADDITIONAL HOURS ............................................................................................... 11
17. ANNUAL LEAVE ............................................................................................................................. 11
18. PERSONAL LEAVE, CARER’S LEAVE AND COMPASSIONATE LEAVE ............................................... 11
19. PARENTAL LEAVE .......................................................................................................................... 11
20. COMMUNITY SERVICE LEAVE ........................................................................................................ 11
21. LEAVE TO DEAL WITH FAMILY AND DOMESTIC VIOLENCE ........................................................... 11
22. LONG SERVICE LEAVE .................................................................................................................... 13
23. PAYMENT OF WAGES .................................................................................................................... 13
24. CLASSIFICATION STRUCTURE AND DEFINITIONS .......................................................................... 14
25. RATES OF PAY ................................................................................................................................ 14
26. JUNIORS ........................................................................................................................................ 14
27. SCHEDULED INCREASES ................................................................................................................ 15
28. PIECEWORKERS ............................................................................................................................. 15
29. MEAL AND REST BREAKS ............................................................................................................... 16
30. OVERTIME ..................................................................................................................................... 16
31. TIME OFF INSTEAD OF PAYMENT FOR OVERTIME ........................................................................ 17
7. AIMS OF AGREEMENT
7.1. This Agreement aims to retain a berry industry in Australia that produces berries for the
domestic and export market in peak condition and at world competitive prices. The
parties agree that the conditions reflected in this Agreement will provide sustainable
permanent and seasonal employment with the Company at a fair price that ensures
security of employment in a viable agricultural industry.
7.2. The parties also agree that the objectives of this Agreement are to facilitate:
a) the development and maintenance of the most productive and harmonious
working relationship obtainable; and
b) workplace productivity; and
c) the profitable production of the highest possible quality product at the lowest
possible cost.
7.3. It is recognised that an important factor in reaching the above objectives is the
development of a working environment where all parties are involved in the decision
making process. The parties commit to co-operating positively to increase the efficiency,
productivity and competitiveness of the enterprise.
8. CONSULTATION
8.1. This term applies if the Company:
a) has made a definite decision to introduce a major change to production,
program, organisation, structure, or technology in relation to its enterprise that
is likely to have a significant effect on the employees; or
b) proposes to introduce a change to the regular roster or ordinary hours of work
of employees.
Major Change
8.2. For a major change referred to in subclause 8.1 (a):
a) the Company must notify the relevant employees of the decision to introduce
the major change; and
b) clauses 8.3 to 8.9 apply.
8.3. The relevant employees may appoint a representative for the purposes of the
procedures in this term.
8.4. The Company must recognise the representative if:
a) a relevant employee appoints, or relevant employees appoint, a
representative for the purposes of consultation; and
b) the employee or employees advise the Company of the identity of the
representative.
8.5. As soon as practicable after making its decision, the Company must:
a) discuss with the relevant employees:
i. the introduction of the change; and
ii. the effect the change is likely to have on the employees; and
iii. measures the Company is taking to avert or mitigate the adverse
effect of the change on the employees; and
8.6. However, the Company is not required to disclose confidential or commercially sensitive
information to the relevant employees.
8.7. The Company must give prompt and genuine consideration to matters raised about the
major change by the relevant employees.
8.8. If a term in this Agreement provides for a major change to production, program,
organisation, structure or technology in relation to the enterprise of the Company, the
requirements set out in subclause 8.2 (a) and clauses 8.3 and 8.5 are taken not to
apply.
8.9. In this term, a major change is likely to have a significant effect on employees if it results
in:
a) the termination of the employment of employees; or
b) major change to the composition, operation or size of the Company's
workforce or to the skills required of employees; or
c) the elimination or diminution of job opportunities (including opportunities for
promotion or tenure); or
d) the alteration of hours of work; or
e) the need to retrain employees; or
f) the need to relocate employees to another workplace; or
g) the restructuring of jobs.
h) change to regular roster or ordinary hours of work
8.10. For a change referred to in subclause 8.1 (b):
a) the Company must notify the relevant employees of the proposed change;
and
b) clauses 8.11 to 8.15 apply.
8.11. The relevant employees may appoint a representative for the purposes of the
procedures in this term.
8.12. The Company must recognise the representative if:
a) a relevant employee appoints, or relevant employees appoint, a
representative for the purposes of consultation; and
b) the employee or employees advise the Company of the identity of the
representative.
8.13. As soon as practicable after proposing to introduce the change, the Company must:
a) discuss with the relevant employees the introduction of the change; and
b) for the purposes of the discussion—provide to the relevant employees:
i. all relevant information about the change, including the nature of
the change; and
ii. information about what the Company reasonably believes will be
the effects of the change on the employees; and
iii. information about any other matters that the Company reasonably
believes are likely to affect the employees; and
9. ACCEPTABLE BEHAVIOUR
9.1. The Company has established acceptable standards that all employees of the Company
are expected to comply with.
9.2. These standards should be read as the minimum requirements expected of all
employees in the day to day performance of their role with the Company.
9.3. Employees are expected to behave in such a way that upholds the values of the
Company at all times.
9.4. Employees are required to adhere to all safe work practices, as set by the Company.
9.5. In carrying out their duties, employees shall take all necessary steps to ensure that the
quality, accuracy and timeliness of any job or task is maintained to the satisfaction of
management.
9.6. Employees are required to refrain from taking any action that might place their own
safety, or that of others, at risk.
9.7. Employees shall not impose any restriction or limitations on the measurement or review
of work methods or the utilisation of labour under the terms and conditions of this
Agreement.
9.8. Employees must notify the Company of changes which may affect their ability to perform
duties at work. This may include, but is not limited to:
a) Changes to functional capacity;
b) Inability to attend work, including incarceration;
c) Loss of relevant licenses; or
d) Criminal charges relevant to the role performed.
b) the arrangement meets the genuine needs of the Company and employee in
relation to one or more of the matters mentioned in subclause 10.1 (a); and
c) the arrangement is genuinely agreed to by the Company and employee.
More than one year but not more than three years At least two weeks
More than three years but not more than five years At least three weeks
13.3. Where notice is given by the Company, the notice outlined above is increased by one
week where the employee:
a) is over 45 years old; and
b) has completed at least two years of continuous service with the Company.
13.4. Redundancy is provided for in the NES and applies to full-time and part-time employees.
Employee leaving during redundancy notice period:
13.5. An employee given notice of termination in circumstances of redundancy may terminate
their employment during the minimum period of notice prescribed by clause 13.2 and
clause 13.3 of this Agreement.
13.6. The employee is entitled to receive the benefits and payments they would have received
under clause 13.4 of this Agreement had they remained in employment until the expiry
of the notice.
13.7. However, the employee is not entitled to be paid for any part of the period of notice
remaining after the employee ceased to be employed.
Job Search Entitlement:
13.8. Where the Company has given notice of termination to an employee (other than a
casual employee or a maximum term employee) in circumstances of redundancy, the
employee must be allowed time off without loss of pay of up to one day each week of
the minimum period of notice prescribed by clause 13.2 and clause 13.3 of this
Agreement for the purpose of seeking other employment.
13.9. If an employee is allowed time off without loss of pay of more than one day under
clause 13.8, the employee must, at the request of the Company, produce proof of
attendance at an interview.
a) A statutory declaration is sufficient for the purpose of clause 13.8.
b) An employee who fails to produce proof when required under clause 13.9 is
not entitled to be paid for the time off.
b) A period of leave to deal with family and domestic violence may be less than
a day by agreement between the employee and the Company.
c) The Company and employee may agree that the employee may take more
than five days of unpaid leave to deal with family and domestic violence.
21.3. Taking unpaid leave
a) An employee may take unpaid leave to deal with family and domestic
violence if the employee:
i. is experiencing family and domestic violence; and
ii. needs to do something to deal with the impact of the family and
domestic violence and it is impractical for the employee to do that
thing outside their ordinary hours of work.
b) The reasons for which an employee may take leave include making
arrangements for their safety or the safety of a family member (including
relocation), attending urgent court hearings, or accessing police services.
21.4. Service and continuity
a) The time an employee is on unpaid leave to deal with family and domestic
violence does not count as service but does not break the employee’s
continuity of service.
21.5. Notice and evidence requirements
a) Notice – An employee must give the Company notice of the taking of leave by
the employee under clause 21. The notice:
i. must be given to the Company as soon as practicable (which may
be a time after the leave has started); and
ii. must advise the Company of the period, or expected period, of the
leave.
21.6. Confidentiality
a) The Company must take steps to ensure information concerning any notice
an employee has given, or evidence an employee has provided under clause
21.5, is treated confidentially, as far as it is reasonably practicable to do so.
b) Nothing in clause 21 prevents the Company from disclosing information
provided by an employee if the disclosure is required by an Australian law or
is necessary to protect the life, health or safety of the employee or another
person.
c) Information concerning an employee’s experience of family and domestic
violence is sensitive and if mishandled can have adverse consequences for
the employee. The Company should consult with such employees regarding
the handling of this information.
21.7. Compliance
a) An employee is not entitled to take leave under clause 21 unless the
employee complies with clause 21.
26. JUNIORS
26.1. Juniors are defined as being those employees who are under 18 years of age.
26.2. Juniors will be paid a percentage of the applicable base rate of pay, based on their age,
as shown in Table 2 – Junior Rates of this Agreement.
26.3. A junior’s hourly rate will be increased in line with Table 2 – Junior Rates, effective
from the employee’s birthday each year, until 18 years of age.
26.4. Junior rates will not apply in the event of Piecework.
26.5. Apprentice and Trainee rates are provided for in Schedule C – Apprentice and
Trainee Pay Rates of this Agreement.
28. PIECEWORKERS
28.1. The Company and a full-time, part-time or casual employee may enter into an
agreement for the employee to be paid a piecework rate. An employee on a piecework
rate is a pieceworker.
28.2. The calculation of piecework rates in clause 28 of this Agreement for casual employees
will include the casual loading prescribed in clause 25.2 of this Agreement.
28.3. A piecework rate is paid instead of the hourly rate prescribed in Schedule B – Rates of
Pay 2019-2023 and will enable the average competent employee to earn at least 15%
more per hour than the minimum hourly rate prescribed in this Agreement, for the type
of employment and the classification level of the employee. The piecework rate agreed
is to be paid for all work performed in accordance with the piecework agreement.
28.4. Employees will be advised of the minimum piecework rate applicable for that activity,
block and crew prior to starting.
28.5. Employees will be asked to sign on to acknowledge the minimum starting rate.
28.6. The Company and the individual employee must have genuinely made the piecework
agreement without coercion or duress.
28.7. The piecework agreement between the Company and the individual employee must be
in writing and signed by the Company and the employee.
28.8. The Company must give the individual a copy of the piecework agreement.
28.9. Nothing in this Agreement guarantees an employee on a piecework rate will earn at
least the minimum ordinary time weekly or hourly wage in this Agreement for the type of
employment classified, as the employee’s earnings are contingent on their productivity.
30. OVERTIME
30.1. For employees other than casuals the rate of pay for overtime will be 150% of the base
rate, except for overtime worked on a Sunday.
30.2. For employees other than casuals, overtime worked on a Sunday (except during harvest
periods for those employees in harvest activities as defined in clause 34.3 – Minimum
Engagement) will be 200% of the base rate.
30.3. Should employees be required to work on a Saturday and the majority of such
employees elects to not work on the Saturday but rather on the Sunday then such work
performed on that Sunday will be paid for at the rate prescribed for Saturday work.
30.4. During harvest period, for those employees in harvest activities the first eight hours
overtime in a week may include five hours work on a Sunday at the rate of 150%, but all
hours worked in excess of the eighth overtime hour worked in the week, or in excess of
five hours on a Sunday will be paid at a rate of 200%.
30.5. For casual employees, other than pieceworkers, the rate of pay for overtime will be
175% of the base rate (inclusive of the casual loading).
30.6. Overtime does not apply to pieceworkers.
30.7. Within this clause, harvest period means the period of time during which the employees
of the Company are engaged principally in the harvesting, grading, packing, or
transportation of horticultural product.
35. ALLOWANCES
35.1. FIRST AID ALLOWANCE
a) This allowance applies to all employees covered by this Agreement.
b) An employee who has undertaken a first aid course, is a holder of a current
recognised first aid qualification and has been appointed as a First Aid Officer
by the Company, will be paid a First Aid Allowance of $2.60 per day that they
attend the workplace.
c) An employee who holds a current relevant qualification and has been
appointed as an Occupational First Aid Officer by the Company, will be paid
an Occupational First Aid Allowance of $5.00 per day that they attend the
workplace.
d) This allowance rate will be increased annually where required to either meet
or exceed the allowance rate as prescribed in the Horticulture Award 2010.
c) No additional claims for meals can be made where the $60 has been paid,
including charging meals back to company at an accommodation facility.
d) This clause does not apply where the employee:
i. Has requested a transfer to another site; or
ii. Where a permanent relocation is agreed
c) The allowance will be paid at a rate of $0.55 for each hour an employee is
required to work in Cold Work.
40. SUPERANNUATION
40.1. Company contributions
a) The Company shall make contributions on an employee’s behalf into a
Superannuation Fund of the employee’s choice, an amount necessary to
discharge its minimum obligations under the applicable legislation as
amended from time to time in accordance with the Superannuation Guarantee
Act (1994)(Cth).
b) Where no such choice is made, payments will be made into the Company’s
default fund, Australian Super.
40.2. Discretionary superannuation contributions
a) An employee may choose to pay additional amounts of their salary into their
nominated Superannuation Fund.
b) Employees can choose to make before-tax contributions (Salary Sacrifice) or
post-tax contributions.
c) Full-time and part-time employees may enter into a Salary Sacrifice
agreement with the Company, in accordance with relevant Superannuation
legislation and Concessional Contributions Caps.
d) The Company encourages all employees to seek independent financial
advice prior to entering into any discretionary superannuation contribution
agreements.
e) The Company will not provide advice on discretionary superannuation
contributions and will not be liable for any breaches of the Concessional
Contributions Cap.
f) All discretionary superannuation contribution agreements will be made in
writing.
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Employees will be classified based on their substantive role, in line with the classification table shown below.
Under clause 24.3 of this Agreement, an employee may request for their classification level to be reviewed by submitting a request in writing
to the Company.
A.1 Definitions
Horticulture Employees, meaning those employees engaged in work including but not limited to:
i) Relating to the sowing, planting, raising, cultivation, irrigating, canopy management, pest and disease management,
harvesting, picking, washing, packing, storing, grading, forwarding or treating of horticultural crops; or
ii) The clearing, fencing, trenching, draining, weeding, mowing or otherwise preparing or treating of land, property or infrastructure
for the maintenance, development or redevelopment of a horticultural crop.
A.2 Level Classifications – Horticulture Employees
Level 1
1. An employee at this level:
- has undertaken induction training and completed and adheres to all relevant SOPs/SWPs in line with task requirements;
- has a general understanding of crop issues (e.g. pests, diseases, quality) and appropriate reporting requirements;
- performs routine duties essentially of a manual nature and to the level of their training;
- works under general supervision either individually or in a team environment;
- has a good understanding of safety responsibilities, including reporting hazards and incidents;
- is responsible for the quality of their own work; and
- demonstrates behaviours in line with the Company values
Indicative duties an employee may perform at this level are:
- General labouring duties that may include the potting, planting, raising, canopy management, pest and disease scouting and
control, harvesting, packing, storing, grading, forwarding or treating of horticultural crops; or
- General labouring duties that may include a range of maintenance tasks to premises or grounds, including weeding, mowing;
- And any other task of this level as defined by the structure and definitions above
If an employee’s indicative duties are classified as Level 2, to progress to Level 3 they must have:
- knowledge of the Company’s operation; and
- demonstrated achieving set KPI’s consistently; and
demonstrated behaviours consistent with the Company values; and
- not been subject to any formal management procedures in the previous 12 months
Pay Rate
Area Position Classification Progression
Code
Picker
Packer Level 1 Not applicable HL1A
Crew Support (e.g. Runner)
FIELD HARVEST
Crew Supervisor (more than 12 months experience) Progression to Level 5 after 12 months in this position
Level 5.1 HL5A
9 people or less
9 people or less
PACKING AND
Crew Supervisor (more than 12 months experience) Progression to Level 5 after 12 months in this position
Level 5.2 HL5B
10 to 20 people
Crew Supervisor (more than 12 months experience) Progression to Level 5 after 12 months in this position
Level 5.1 HL5A
9 people or less
Weed Spraying
Hand Weeding Level 1 Not applicable HL1A
Mowing
Assistant Supervisor Level 3 3A for the first 12 months in this position HL3A
Crew Supervisor (more than 12 months experience) Progression to Level 5 after 12 months in this position
Level 5.2 HL5B
10 to 20 people
(Award Rate) + (Award Rate x Agreement Base Rate (excluding Agreement Base Rate (excluding Agreement Base Rate (excluding
0.25) casual loading) x 1.75 casual loading) x 1.40 casual loading) x 2.25
C.1 DEFINITIONS
adult trainee means a trainee who would qualify for the highest minimum wage in
wage level A,B or C if covered by that wage level.
relevant State or Territory training authority means a body in the relevant State or
Territory that has power to approve traineeships, and to register training contracts,
under the relevant State or Territory vocational education and training legislation.
(a) has been approved by the relevant State or Territory training authority;
and
training contract means an agreement for a traineeship made between an Company and
an employee that is registered by the relevant State or Territory training authority.
training package means the competency standards and associated assessment guidelines
for an AQF certificate level qualification that have been endorsed for an industry or
enterprise by the Australian Industry and Skills Committee and placed on the National
Training Information Service with the approval of the relevant Ministers, and includes any
relevant replacement training package.
C.1.2 A reference in this schedule to out of school refers only to periods out of school
beyond Year 10 as at 1 January in each year and is taken to:
(a) include any period of schooling beyond Year 10 that was not part of, or did
not contribute to, a completed year of schooling; and
(b) include any period during which a trainee repeats, in whole or part, a year
of schooling beyond Year 10; and
(c) not include any period during a calendar year after the completion during
that year of a year of schooling.
C.2 Coverage
C.2.1 Subject to clauses C.2.2 to C.2.4, this schedule applies to an employee covered
by this award who is undertaking a traineeship and whose training package and
AQF certificate level.
(c) qualifications in training packages that are not identified as appropriate for
a traineeship.
C.2.3 If this schedule is inconsistent with other provisions of this award relating to
traineeships, the other provisions prevail.
C.2.4 This schedule ceases to apply to an employee at the end of the traineeship.
C.3.1 A full-time traineeship based on 38 ordinary hours per week, with 20% of those
hours being approved training;
The minimum rate for a full-time trainee undertaking an AQF Certificate Level
I–III traineeship is the weekly rate specified in Column 2 of Table
4— minimum weekly rate for full-time trainees (AQF Certificate Level I–
III traineeship) according to the highest year of schooling completed by the
trainee specified in that column and the experience level of the trainee
specified in Column 1.
Column 1 Column 2
Experience level of trainee Highest year of schooling completed
Year 10 Year 11 Year 12
per week per week per week
School leaver $323.10 $355.80 $423.90
Plus 1 year out of school $355.80 $423.90 $493.30
Plus 2 years out of school $423.90 $493.30 $574.10
Plus 3 years out of school $493.30 $574.10 $657.30
Plus 4 years out of school $574.10 $657.30
Plus 5 or more years out of school $657.30
NOTE: See clause C.4.3 for other minimum wage provisions that affect this
clause.
NOTE: See clause C.4.3 for other minimum wage provisions that affect this
clause.
(b) For the purpose of determining whether a trainee has suffered a reduction
as mentioned in subclause C.4.3 (a), casual loadings are to be disregarded.
C.5.1 A trainee is entitled to be released from work without loss of pay and without loss
of continuity of employment to attend any training and assessment specified in, or
associated with, the training contract.