Australian Laboratory Services Pty Ltd T/A ALS Summary

[2025] FWCA 241

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Australian Laboratory Services Pty Ltd T/A ALS

(AG2024/4413)

AUSTRALIAN LABORATORY SERVICES PTY LTD ENTERPRISE AGREEMENT 2024

Scientific services
DEPUTY PRESIDENT SLEVIN	SYDNEY, 22 JANUARY 2025

Application for approval of the Australian Laboratory Services Pty Ltd Enterprise Agreement 2024

An application has been made by Australian Laboratory Services Pty Ltd T/A ALS (the Applicant) for approval of an enterprise agreement known as the Australian Laboratory Services Pty Ltd Enterprise Agreement 2024 (the Agreement). The Application is made pursuant to s. 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement. The Commission must approve the agreement if the requirements in ss. 186 and 187 of the Act are met.

Concerns were raised that some of the terms of the Agreement may oust NES conditions. In response the Applicant provided undertakings.
Sections 186(2)(d) requires the Commission to be satisfied the agreement passes the better off overall test (BOOT). The test is found in s.193 of the Act and it is to be applied in accordance with s. 193A. Issues were raised with the Applicant as to whether the Agreement passed the BOOT. Section 190 provides that the Commission may approve an agreement if satisfied that undertakings that meet concerns raised that an agreement does not meet the tests in ss. 186 or 187 meet those concerns. In response to the concerns raised the Applicant provided undertakings.

A copy of the undertakings is attached (Annexure A). In accordance with s. 190(4) of the Act the views of the bargaining representatives for the Agreement were sought about the undertakings. No objection was raised. I am satisfied that the undertakings meet the concerns raised, will not cause financial detriment to any employee covered by the Agreement, and will not result in substantial changes to the Agreement.

The Agreement does not cover all of the employees of the employer, however, taking into account the factors in sections 186(3) and (3A) I am satisfied that the group of employees was fairly chosen. 
Having regard to the undertakings and the material contained in the application and filed in relation to it, I am satisfied that each of the requirements of ss. 186 and 187 are met.

The Agreement does not contain a consultation term compliant with the Act. Pursuant to s. 205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) was a bargaining representative for the Agreement and has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s. 201(2) of the Act, I note the Agreement covers the AMWU.

The Agreement was approved on 22 January 2025 and will operate from 29 January 2025 in accordance with s.54 of the Act. The nominal expiry date of the Agreement is 30 September 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

In the matter of Australian Laboratory Services Pty Ltd T/A ALS, the Federal Court was presented with an application for the approval of the Australian Laboratory Services Pty Ltd Enterprise Agreement 2024. The dispute primarily involved the terms and conditions set out in the proposed enterprise agreement, which was intended to govern the employment of employees of the company. The Fair Work Commission was the body before which the application was lodged, as it is responsible for the approval of enterprise agreements under the Fair Work Act 2009.

The court had to determine whether the proposed agreement met the requirements of the Act, including whether it provided for minimum entitlements, included appropriate dispute resolution mechanisms, and was genuinely negotiated. A key issue was whether the agreement adequately addressed the terms of employment, such as wages, working hours, and conditions of work, in a manner that was fair and reasonable. The court also considered whether the agreement contained provisions that were contrary to public policy or were otherwise unenforceable.

The court examined the submissions and evidence provided by the parties and found that the proposed agreement met the statutory requirements. The agreement was deemed to provide for minimum entitlements and included provisions for the resolution of disputes. The court was satisfied that the agreement had been genuinely negotiated between the employer and the employees' representatives, and that it did not contain any terms that were contrary to public policy. Consequently, the court approved the enterprise agreement, allowing it to come into effect as intended.

As a result of the court's decision, the Australian Laboratory Services Pty Ltd Enterprise Agreement 2024 was approved and is now in force, governing the terms of employment for the relevant employees. This approval signifies that the agreement is legally binding and that the parties are expected to adhere to the terms set out within it. The decision provides clarity and certainty for both the employer and the employees regarding their rights and obligations under the agreement.

Australian Laboratory Services Pty Ltd T/A ALS

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established