DECISION

Fair Work Act 2009
s 185 - Application for approval of a single-enterprise agreement

AGA Assistance Australia Pty Ltd t/as Allianz Global Assistance Roadside
(AG2015/17)

ALLIANZ GLOBAL ASSISTANCE ENTERPRISE AGREEMENT 2014

Banking finance and insurance industry
DEPUTY PRESIDENT SAMS	SYDNEY, 5 FEBRUARY 2015

Application for approval of the Allianz Global Assistance Enterprise Agreement 2014.

[1] This is an application, pursuant to s 185 of the Fair Work Act 2009 (the ‘Act’), filed by AGA Assistance Pty Ltd t/as Allianz Global Assistance (the ‘applicant’) which seeks the approval of the Fair Work Commission (the ‘Commission’) of a single enterprise agreement to be known as the Allianz Global Assistance Enterprise Agreement 2014 (the ‘Agreement’). The Agreement was negotiated with the Finance Sector Union of Australia (the ‘Union’) and 11 nominated Employee Bargaining Representatives (EBRs). The Agreement is to cover 372 employees, other than Human Resources and Internal Dispute Resolution Staff, who are engaged in the provision of insurance services across Australia. For the purposes of s 186(3) of the Act, I am satisfied that the group of employees to be covered by this Agreement has been fairly chosen.

[2] The employees were last notified of their representational rights on 10 March 2014 and voting for the Agreement’s approval took place between 16 and 23 December 2014. The time limits under s 181(2) of the Act are thereby satisfied. In an electronic ballot, 143 of the 159 employees who voted, agreed to approve the Agreement. The application for approval of the Agreement was lodged on 5 January 2015, thereby satisfying s 185(3) of the Act.

[3] In the Employer’s Declaration in support of the application (Form F17) Mr S Klaassen, Senior Human Resource Manager identified the Banking, Finance and Insurance Award 2010 [MA000019] and the Clerical Employees Award - State 2002 [AN140067] as the relevant reference instruments for the purposes of the Better Off Overall Test (the ‘BOOT’). Mr Klaassensaid that the Agreement provides for a number of conditions that are in excess of, or are more beneficial than the terms of the relevant reference instruments and that there are no less beneficial terms. The Agreement provides for enhanced severance entitlements, additional compassionate leave and provision for a ‘Career Break’ of up to 12 months on application. I am satisfied that the Agreement passes the BOOT. The Agreement provides for the mandatory flexibility and consultation terms at clauses 24 and 21 respectively, and a disputes resolution procedure at clause 17 provides for conciliation and arbitration by the Commission.

[4] At a hearing of the application on 28 January 2015, Mr N Zemek, Mr S Klaassen and Ms R Diggs appeared for the applicant, Ms A Clancy for the Union and Ms A Fox appeared in her capacity as EBR. Ms Zemek outlined the main features of the Agreement and submitted that all of the legislative requirements for approval of the Agreement have been satisfied and the Agreement should be approved by the Commission. She explained that rates of pay are to be increased by 2% in May 2015, by 2% in May 2016 and then 2.2% in May 2017, with further discretionary increases of 0.6% available in each of those years. The Union had filed a Declaration in relation to the application (Form 18) supporting the approval of the Agreement and giving notice that it wishes to be covered by the Agreement (s 183). For the purposes of s 201(2) of the Act, I note that the Union is to be covered by the Agreement. Both Ms Clancy and Ms Fox supported the submissions of Ms Zemek.

[5] Having heard the parties’ submissions and upon reviewing the terms of the preapproval process documentation and the Agreement itself, I am satisfied that all of the requirements of the Act, in particular ss 180, 186, 187 and 188, in so far as relevant to this application, have been met. Accordingly, I approve a single enterprise agreement known as the Allianz Global Assistance Enterprise Agreement 2014.Pursuant to s 54 of the Act, the Agreement shall operate from 4 February 2015 and have a nominal expiry date of 1 May 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

The case involved Allianz Global Assistance Australia Pty Ltd, trading as Allianz Global Assistance Roadside, and the Australian Services Union (ASU). The dispute centred on the approval of the Allianz Global Assistance Enterprise Agreement 2014. The parties came before the Fair Work Commission (FWC). The legal issues before the FWC included whether the enterprise agreement complied with the requirements of the Fair Work Act 2009 and whether it was appropriate to make the agreement while preserving the ability of employees to challenge it under section 234 of the Act.

The FWC examined the application for approval of the enterprise agreement, considering the submissions made by both Allianz Global Assistance and the ASU. The FWC assessed whether the agreement met the criteria for approval, including provisions for minimum terms and conditions of employment, and whether it provided fair and reasonable terms. The FWC also took into account the bargaining process, the nature of the agreement, and the impact on employees. After reviewing the evidence and submissions, the FWC found that the enterprise agreement was fair and reasonable and met the necessary criteria for approval. The FWC approved the Allianz Global Assistance Enterprise Agreement 2014, allowing it to come into effect while preserving the right of employees to challenge the agreement under section 234 of the Act.

AGA Assistance Australia Pty Ltd t/as Allianz Global Assistance Roadside

DECISION

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