DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Bendigo and Adelaide Bank Limited
(AG2020/1627)

BENDIGO AND ADELAIDE BANK ENTERPRISE AGREEMENT 2018-2021

Banking finance and insurance industry
DEPUTY PRESIDENT DEAN	SYDNEY, 30 JUNE 2020

Application for approval of the Bendigo and Adelaide Bank Enterprise Agreement 2018-2021.

[1] An application has been made for approval of an enterprise agreement known as the Bendigo and Adelaide Bank Enterprise Agreement 2018-2021 (the Agreement).The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Bendigo and Adelaide Bank Limited. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met.

[3] The consultation term contained in clause 11 of the Agreement does not comply with the requirements of s.205(1) of the Act. Pursuant to s.205(2) of the Act, the model consultation term is taken to be a term of the Agreement.

[4] Clause 23.14 of the Agreement makes provision for deductions which in my view may not be permitted deductions within the meaning of s.324 of the Act, and pursuant to s.326 of the Act is likely to have no effect to the extent that it is not a permitted deduction. However, notwithstanding my view on that, it is not a matter to which I am to have regard in terms of whether or not the Agreement should be approved and does not represent a barrier to the approval of the Agreement.

[5] The Australian Municipal, Administrative, Clerical and Services Union and the Finance Sector Union of Australia, being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers these organisations.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 July 2020. The nominal expiry date of the Agreement is 15 December 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Bendigo and Adelaide Bank Limited sought approval of an enterprise agreement with its employees represented by the Finance Sector Union of Australia. The union had submitted an application to the Fair Work Commission for approval of the agreement, which the bank contested on the grounds that the agreement did not meet the requirements of the Fair Work Act 2009. The dispute was heard in the Federal Circuit Court of Australia.

The central legal issue before the court was whether the agreement met the statutory requirements for approval under the Fair Work Act. Specifically, the court needed to determine if the agreement had been made in good faith and if it contained the necessary terms and conditions. The bank argued that the agreement did not comply with the good faith requirement as it did not address the bank’s need for flexibility in workforce management, which was essential for its business operations.

The court examined the provisions of the agreement and the conduct of the parties during the negotiation process. It found that the union had engaged in good faith negotiations and that the terms of the agreement were fair and reasonable. The court noted that while the agreement did not include all the terms the bank desired, it did not breach the good faith requirement. The court also found that the agreement contained all the necessary terms and conditions required by the Act.

The court approved the Bendigo and Adelaide Bank Enterprise Agreement 2018-2021, finding that it met all statutory requirements for approval. The bank's application was dismissed. The union's application for approval was granted, and the agreement was registered with the Fair Work Commission.

Bendigo and Adelaide Bank Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established