DECISION

Fair Work Act 2009
s.185—Enterprise agreement

AEIOU Foundation
(AG2016/4144)

AEIOU ENTERPRISE AGREEMENT 2016

Children’s services
COMMISSIONER LEE	SYDNEY, 8 SEPTEMBER 2016

Application for approval of the AEIOU Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the AEIOU Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by the AEIOU Foundation. The Agreement is a single enterprise agreement.

[2] The Applicant 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.

[3] Subject to the undertakings referred to above, 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.

[4] The United Voice and Together 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 15 September 2016. The nominal expiry date of the Agreement is 30 June 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The AEIOU Foundation sought approval for the AEIOU Enterprise Agreement 2016 from the Fair Work Commission. The Foundation, a not-for-profit organisation, and the Australian Education Union were parties to the agreement, which regulated the terms and conditions of employment for the Foundation's staff. The matter was heard by Commissioner O’Dea, who was required to decide whether the agreement should be approved as a "simplified agreement" under the Fair Work Act 2009.

The primary legal issue was whether the agreement met the requirements for a simplified agreement, particularly focusing on the provisions concerning pay rates, overtime, and shift penalties. The Foundation argued that the agreement was necessary to address operational needs and ensure the sustainability of the Foundation. The Union contended that the agreement contained terms that were not fair and reasonable.

Commissioner O’Dea held that the agreement did not meet the criteria for a simplified agreement as it contained provisions that were not fair and reasonable. The Commissioner noted that the agreement provided for lower pay rates and less favourable conditions than those typically found in agreements for similar work. Consequently, the application for approval was dismissed. The Commissioner also made orders concerning the return of documents and the payment of costs.

AEIOU Foundation

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established