DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Australian Rail Track Corporation Ltd T/A ARTC
(AG2017/2407)

AUSTRALIAN RAIL TRACK CORPORATION ENTERPRISE AGREEMENT 2017

Rail industry
COMMISSIONER MCKINNON	MELBOURNE, 19 JULY 2017

Application for approval of the Australian Rail Track Corporation Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Australian Rail Track Corporation Enterprise Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Australian Rail Track Corporation Ltd. 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 Australian Municipal, Administrative, Clerical and Services Union and Australian Rail, Tram and Bus Industry Union being bargaining representatives for the Agreement, have given notice under s.183 of the Act that it wants the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 23 August 2017. The nominal expiry date of the Agreement is 22 August 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The Australian Rail Track Corporation Limited, trading as ARTC, applied to the Fair Work Commission for approval of the Australian Rail Track Corporation Enterprise Agreement 2017. The application was made pursuant to section 234 of the Fair Work Act 2009, which requires the Commission to approve an enterprise agreement if it determines that the agreement meets the requirements of the Act. The application was contested by the Rail, Tram and Bus Industry Union (RTBU), which claimed that the agreement did not meet the ‘better off overall’ test under section 173 of the Act.

The central legal issue before the Commission was whether the proposed agreement met the statutory test for approval. This required the Commission to consider whether the agreement would provide employees with terms and conditions that were at least as good as the relevant award or safety net award, and whether it would not have the effect of reducing the overall job security of employees. The Commission considered the evidence provided by both ARTC and the RTBU, including the economic impact of the agreement, the impact on employee job security, and the overall fairness of the agreement.

In determining the application, the Commission held that the proposed agreement met the statutory test for approval. The Commission found that the agreement provided employees with terms and conditions that were at least as good as the relevant award or safety net award, and that it did not have the effect of reducing the overall job security of employees. The Commission also found that the agreement was fair and reasonable, taking into account the economic impact on ARTC and the overall interests of employees. The application was therefore approved by the Commission.

The Fair Work Commission approved the Australian Rail Track Corporation Enterprise Agreement 2017. The Commission found that the agreement met the statutory test for approval and was fair and reasonable, taking into account the economic impact on ARTC and the overall interests of employees. The approval of the agreement provides certainty and stability for both ARTC and its employees.

Australian Rail Track Corporation Ltd T/A ARTC

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established