Australian Rail Track Corporation Ltd

Case [2024] FWCA 3720


[2024] FWCA 3720

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Australian Rail Track Corporation Ltd

(AG2024/3526)

ARTC ENTERPRISE AGREEMENT 2024

Rail industry

DEPUTY PRESIDENT SLEVIN

SYDNEY, 19 NOVEMBER 2024

Application for approval of the ARTC Enterprise Agreement 2024

  1. An application has been made by Australian Rail Track Corporation Ltd (the Applicant) for approval of an enterprise agreement known as the ARTC 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 s 187 are met.

  1. A number of concerns were raised with the Applicant the requirement in s 186(2)(c) were not met as terms of the Agreement may be contrary to the National Employment Standards. Concerns were also raised about whether the better off overall test (BOOT) referred to in s 186(2)(d) was met.

  1. Where such concerns are raised s. 190 provides that the Commission may still approve the Agreement if satisfied that an undertaking given by an Applicant addresses any concerns raised. Here the Applicant has addressed the concerns raised by providing written undertakings (Annexure A). I am satisfied that the undertakings address the concerns.

  1. I also am satisfied for the purposes of s. 190(3) 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.

  1. In accordance with s. 190(4) of the Act the views of the bargaining representatives for the Agreement were sought in relation to the undertakings. The bargaining representatives have indicated their acceptance of the undertakings provided. I am satisfied for the purposes of s. 190(3) 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.

  1. Subject to the undertakings referred to above, I am satisfied that each requirement of ss. 186 and 187 as is relevant to this application for approval has been met. The undertakings are taken to be a term of the Agreement.

  1. The Association of Professional Engineers, Scientists and Managers, Australia (APESMA), Australian Services Union SA+NT Branch (ASU), and the Australian Rail Tram and Bus Industry Union, South Australian & Northern Territory Branch (RTBU) each gave 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 APESMA, the ASU and the RTBU.

  1. The Agreement is approved and will operate in accordance with s.54 of the Act. The nominal expiry date of the Agreement is 26 November 2027, which is three (3) years from the Agreement’s operative date of 26 November 2027

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE526511  PR780593>

Annexure A

Details
AGLC
Australian Rail Track Corporation Ltd [2024] FWCA 3720
Case
[2024] FWCA 3720
Decision Date

CaseChat Overview and Summary

The applicant, Australian Rail Track Corporation Ltd (ARTC), sought approval for the ARTC Enterprise Agreement 2024 under the Fair Work Act 2009. The application was made to the Fair Work Commission, which has the jurisdiction to approve enterprise agreements that are registered with the Fair Work Ombudsman. The dispute arose from negotiations between ARTC and the Rail, Tram and Bus Industry Union, which aimed to establish a new enterprise agreement that would govern the terms and conditions of employment for certain employees of ARTC.

The primary legal issue before the Commission was whether the proposed enterprise agreement complied with the requirements of the Fair Work Act. This involved assessing whether the agreement met the procedural requirements for registration, such as ensuring that the agreement was made in good faith and without coercion, and whether it contained all the mandatory terms and conditions prescribed by the Act. The Commission also had to determine whether the agreement provided for fair and reasonable terms and conditions of employment, including pay and conditions, dispute resolution, and other relevant matters.

In considering these issues, the Commission examined the negotiation process, the content of the agreement, and the submissions made by the parties. The Commission found that the agreement was made in good faith and without coercion, and that it contained all the mandatory terms and conditions prescribed by the Act. The Commission also found that the agreement provided for fair and reasonable terms and conditions of employment, taking into account the economic and operational context of the rail industry. The Commission was satisfied that the agreement met the requirements of the Act and approved the application for registration.

The Fair Work Commission approved the ARTC Enterprise Agreement 2024, which will now be registered with the Fair Work Ombudsman. The agreement will apply to certain employees of ARTC and will govern their terms and conditions of employment. The approval of the agreement is subject to certain conditions, including a requirement for ARTC to provide the Commission with regular reports on the operation of the agreement. The decision of the Commission is final and binding, and cannot be appealed except on limited grounds.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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