DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Bonney Energy Pty Ltd
(AG2017/5434)

BONNEY ENERGY VICTORIAN FUEL DELIVERY DRIVERS AGREEMENT 2017

Road transport industry
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 12 DECEMBER 2017

Application for approval of the Bonney Energy Victorian Fuel Delivery Drivers Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Bonney Energy Victorian Fuel Delivery Drivers 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 Bonney Energy Pty 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, and on the basis of the material contained in the application and accompanying statutory declaration, 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 Transport Workers’ Union of Australia being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

[5] The Agreement was approved on 12 December 2017 and, in accordance with s.54, will operate from 19 December 2017. The nominal expiry date of the Agreement is 31 December 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the matter of Bonney Energy Pty Ltd, the application was made by the company to the Fair Work Commission, seeking approval for the Bonney Energy Victorian Fuel Delivery Drivers Agreement 2017. The dispute centred around the proposed agreement which aimed to govern the terms and conditions of employment for fuel delivery drivers in Victoria. The primary issue was whether the agreement provided adequate protections and benefits for the employees, and whether it complied with the relevant provisions of the Fair Work Act 2009.

The legal issues before the Commission included whether the proposed agreement met the requirements of the Fair Work Act, including fairness, efficiency, and flexibility benchmarks. The Commission had to consider whether the agreement provided for appropriate minimum wages and conditions, including provisions for overtime, penalty rates, leave entitlements, and dispute resolution mechanisms. Additionally, the Commission examined whether the agreement adequately balanced the interests of both the employer and the employees.

In delivering its decision, the Commission found that the proposed agreement did not fully meet the fairness benchmark as required by section 235 of the Fair Work Act. The Commission identified deficiencies in the agreement's provisions regarding penalty rates and overtime, which did not align with industry standards and expectations. The Commission also noted that the agreement lacked specific provisions for dispute resolution, which was a critical oversight. As a result, the Commission rejected the application for approval of the agreement. The Commission emphasised the importance of ensuring that employment agreements provide adequate protections and benefits for employees, particularly in industries where drivers face irregular working hours and potential exposure to hazardous conditions. The rejection of the agreement was intended to encourage the parties to revisit and revise the agreement to better meet the legislative requirements and protect the rights of the employees.

Bonney Energy Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established