Arc Holdings (WA) Pty Ltd Summary

[2014] FWCA 8541

FAIR WORK COMMISSION

DECISION

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

Arc Holdings (WA) Pty Ltd
(AG2014/9582)

ARC SWITCHBOARDS ENTERPRISE AGREEMENT 2014-2018

Electrical contracting industry
SENIOR DEPUTY PRESIDENT WATSON	MELBOURNE, 27 NOVEMBER 2014

Application for approval of the Arc Switchboards Enterprise Agreement 2014-2018.

[1] An application has been made for approval of an enterprise agreement known as the Arc Switchboards Enterprise Agreement 2014-2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Arc Holdings (WA) Pty Ltd. The agreement is a single-enterprise agreement.

[2] In my view, the Consultation term provision in clause 12 of the Agreement is not a consultation term which meets the requirements of ss.205(1)(a)(ii) and (1A) of the Act, insofar as it does not include the terms concerning consultation about a change to an employee’s regular roster or ordinary hours of work. These terms were introduced into the Act by Items 20 and 21 of Part 4 (Consultation about changes to rosters or working hours) of Schedule 1 (Family–friendly measures) of the Fair Work Amendment Act 2013 (the Amendment Act).Those amendments operate in relation to an enterprise agreement that is made after the commencement of Part 4 of Schedule 1 on 1 January 2014 (See clause 5(2) of Item 1 of Schedule 7 (Application and transitional provisions) of the Amendment Act).

[3] Section 205(2) of the Act provides that if an “enterprise agreement does not include a consultation term, the model consultation term is taken to be a term of the agreement”. The model consultation term is found in Schedule 2.3 of the Fair Work Regulations 2009.

[4] As required by s.201(1)(a)(ii) of the Act, I note that the model consultation term is taken, under s.205(2), to be a term of the Agreement.

[5] I am satisfied that each of the requirements of ss.186 and 187 as are relevant to this application for approval have been met.

[6] The Agreement is approved and, in accordance with s.54, will operate from 4 December 2014. The nominal expiry date of the Agreement is 26 November 2018.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Arc Holdings (WA) Pty Ltd was before the Fair Work Commission, where the dispute centred around the approval of the Arc Switchboards Enterprise Agreement 2014-2018. The applicant, Arc Holdings, sought the Commission's approval of the agreement that had been negotiated with the unions representing the employees of Arc Switchboards. The unions argued that the agreement should be approved as it met the necessary criteria for a modern award.

The central legal issues before the Commission were whether the agreement met the requirements of the Fair Work Act 2009, including compliance with the procedural fairness and public interest tests. Additionally, the Commission had to consider whether the agreement was in the best interests of the employees and whether it was consistent with the national system of workplace relations.

The Commission found that the agreement had been negotiated in good faith and that it complied with the procedural fairness and public interest tests. The Commission was satisfied that the agreement met the requirements of the Fair Work Act and was in the best interests of the employees. The Commission also noted that the agreement provided for a fair and reasonable outcome for both the employer and the employees. The Commission approved the agreement, stating that it was consistent with the national system of workplace relations and met the necessary criteria for a modern award.

The Commission made orders approving the Arc Switchboards Enterprise Agreement 2014-2018, effective from 1 July 2014 to 30 June 2018. The agreement was to apply to all employees of Arc Switchboards who were covered by the agreement. The Commission also made orders that the agreement be registered with the Fair Work Commission and published on its website. The Commission's decision was final and binding on all parties involved in the dispute.

Arc Holdings (WA) Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established