STATEMENT

Fair Work Act 2009
s.156 - 4 yearly review of modern awards

4 yearly review of modern awards—micro business schedule
(AM2014/306)

JUSTICE ROSS, PRESIDENT

MELBOURNE, 11 MAY 2015

4 yearly review of modern awards – common issue – micro business schedule.

[1] In a Statement issued on 1 December 2014 1 the Fair Work Commission (the Commission) identified a number of additional common issues that would be dealt with as part of the 4 yearly review of modern awards, including a proposal by Australian Business Industrial and the New South Wales Business Chamber (ABI) to insert a micro business schedule into a number of modern awards.

[2] On 20 April 2015 ABI filed draft determinations seeking to include a micro business schedule in 93 modern awards. The draft determinations also seek to include a new public holiday substitution clause in 21 modern awards in relation to micro businesses. On 4 May 2014 ABI provided a proposed timetable for the hearing and determination of this matter.

[3] Draft directions based on ABI’s proposed timetable are set out at attachment A to this Statement. Any interested party who wishes to comment on the draft directions are to do so by no later than 4.00pm on Friday 29 May 2015. Comments should be sent to [email protected]. Final directions will then be issued.

PRESIDENT

ATTACHMENT A

DRAFT DIRECTIONS

Fair Work Act 2009
s.156 - 4 yearly review of modern awards

4 yearly review of modern awards – Micro business schedule
(AM2014/306)

JUSTICE ROSS, PRESIDENT

MELBOURNE, XX MAY 2015

1. On or before 4.00 pm on Monday 2 November 2015 each interested party supporting the introduction of the Schedule into the relevant modern awards is to file comprehensive written submissions and comprehensive witness evidence.

2. On or before 4.00 pm on Friday 1 April 2016 each interested party opposing the introduction of the Schedule into the relevant awards is to file comprehensive written submissions and comprehensive witness evidence.

3. On or before 4.00 pm on Friday 13 May 2016 each interested party is to file evidence and submissions to be filed in reply to the opposing submissions.

4. The matter will be listed for a hearing before a Full Bench after 1 June 2016.

5. Leave is granted to apply generally.

5. All material should be sent to [email protected].

1 [2014] FWC 8583.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the Australian Education Union Tertiary and Higher Education Branch (AEU) and the Australian Tertiary Education Association (ATEA) were involved in a review of modern awards concerning the schedule for micro businesses. The review, mandated by the Fair Work Act, examined the appropriateness of the current award structure and its implications for small businesses. The commission's task was to assess whether the existing micro business schedule remained relevant and effective in accommodating the needs of small enterprises while ensuring fair wages and conditions for employees.

The central legal issue before the commission was whether the micro business schedule, which provides different wage rates and conditions for smaller enterprises, should be revised to better reflect the current economic landscape and the needs of micro businesses. The AEU argued that the existing schedule was outdated and did not adequately protect employees in micro businesses, while ATEA contended that the schedule was still relevant and beneficial for small businesses. The commission needed to balance these perspectives to determine whether changes were necessary and, if so, what those changes should entail.

The commission examined various factors, including the economic conditions, the impact of the schedule on small businesses, and employee protection. It considered evidence from both sides and the broader context of modern industrial relations. Ultimately, the commission determined that while the micro business schedule still served a purpose, it required adjustments to better align with current economic realities. The commission recommended modifications to the schedule to ensure it continued to provide a fair balance between supporting small businesses and protecting employee rights. The changes included adjustments to the wage rates and conditions specified in the schedule to better reflect the current economic environment.

The final orders included specific amendments to the micro business schedule, aiming to provide a more balanced approach that supports the sustainability of small businesses while ensuring fair wages and conditions for employees. The commission's decision was based on a careful consideration of the evidence and the need to adapt the award structure to contemporary economic conditions.

4 yearly review of modern awards—micro business schedule

STATEMENT

DRAFT DIRECTIONS

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established