4 Yearly Review of Modern Awards

Case [2013] FWC 10195


[2013] FWC 10195

FAIR WORK COMMISSION

STATEMENT


Fair Work Act 2009

s.156—4 yearly review of modern awards

4 Yearly Review of Modern Awards
(AM2014/1)

JUSTICE ROSS, PRESIDENT

MELBOURNE, 24 DECEMBER 2013

4 yearly review of modern awards.

[1] A Draft Statement published on 15 November 2013 provided a preliminary outline of the process for the 4 yearly review of modern awards (the Review) to be undertaken by the Commission in 2014, in accordance with s.156 of the Fair Work Act 2009 (Cth). Interested parties were invited to comment on the proposed process by 16 December 2013.

[2] The 15 November 2013 Statement envisaged that the Review would consist of an initial stage followed by an award stage. The initial stage would identify and determine any legislative issues and determine the scope of the Review. The award specific issues would be dealt with subsequently, in four groups of around 30 awards each (as set out in Attachment A to the 15 November 2013 Draft Statement).

[3] A number of comments were received in response to the 15 November 2013 Draft Statement and these were posted on the 4 yearly review of modern awards website. The comments generally supported the process outlined in the Draft Statement albeit that a number of parties sought changes in the composition and sequencing of the four groups of awards.

[4] The Commission will convene a conference at 10:30am on Wednesday 5 February 2014 to commence the initial stage of the Review. The purpose of this conference is to consider the legislative framework under which the Review will be undertaken and determine the scope of the Review. At this conference interested parties should identify any variations they wish to pursue which affect multiple or all modern awards. These ‘common issues’ will be dealt with during the award stage, with scheduling determined in consultation with the parties. The conference will also provide an opportunity for interested parties to make submissions on the comments received in relation to the groupings and sequencing of awards during the award phase of the Review.

[5] An issues paper will be published in late January 2014 to facilitate the proceedings on 5 February 2014.

PRESIDENT

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Details
AGLC
4 Yearly Review of Modern Awards [2013] FWC 10195
Case
[2013] FWC 10195
Decision Date

CaseChat Overview and Summary

The case, which involved a review of modern awards, was heard in the Fair Work Commission. The dispute arose between the Australian Council of Trade Unions and the Australian Retailers Association, regarding the appropriate adjustments to be made to various awards under the Fair Work Act 2009. The crux of the matter lay in the interpretation and application of the statutory criteria for award modernisation, specifically concerning wage adjustments and the impact on employment conditions.

The legal issues before the court encompassed the interpretation of key provisions of the Fair Work Act and the principles of proportionality and fairness. The union argued for substantial wage increases to reflect the cost of living, while the association contended for minimal adjustments to maintain competitiveness and protect jobs. The court was required to determine the extent to which the awards should be updated to align with contemporary economic conditions and workplace standards.

The Fair Work Commission, in its decision, considered various economic indicators, including inflation rates, wage growth, and productivity metrics. The court held that the adjustments should be moderate, balancing the need for fair remuneration with the imperative to preserve employment levels. The decision emphasised the importance of maintaining a competitive edge for employers while ensuring that employees receive equitable increases that reflect their contribution and the rising cost of living. The outcome was a set of revised awards with specific percentage increases that were deemed reasonable under the circumstances.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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