| [2016] FWCA 5750 |
| FAIR WORK COMMISSION |
DECISION |
Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement
Brink's Australia Pty Ltd
(AG2016/1570)
BRINK'S AUSTRALIA PTY LTD PERTH ENTERPRISE AGREEMENT 2016
Road transport industry | |
DEPUTY PRESIDENT BULL | SYDNEY, 25 AUGUST 2016 |
Application for approval of the Brink's Australia Pty Ltd Perth Enterprise Agreement 2016
[1] An application has been made by Brink’s Australia Pty Ltd (the applicant) for the approval of an enterprise agreement known as the Brink's Australia Pty Ltd Perth Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.
[2] The Agreement covers Ground Armoured employees based at Belmont performing cash in transit security guard work. As per the requirement under s.186(3) of the Act, I am satisfied that the group of employees to be covered by the Agreement was fairly chosen.
[3] The Commission wrote to the applicant raising concerns in relation to:
● The nominal expiry date;
● The flexibility term;
● Shiftworkers;
● The better off overall test (BOOT).
Nominal Expiry Date
[4] The applicant has confirmed in writing to the Commission that the nominal expiry date will be 30 April 2020 and not 31 April 2020 as it appears in clause 2 of the Agreement.
Definition of shiftworkers
[5] The Commission wrote to the applicant noting that the Agreement allows for shiftworkers but does not define or describe a shiftworker as an employee who would be a shiftworker within the meaning provided in the Transport (cash in transit) Award 2010 (the Award).
[6] In response the applicant has provided an undertaking that the definition of “shiftworker” will mirror that of the Award. Pursuant to s.196(2) of the Act I am satisfied that the Agreement defines or describes a shiftworker for the purposes of the National Employment Standards concerning annual leave.
Flexibility Term
[7] The flexibility term at clause 27 of the Agreement does not meet the requirements of
s.203(2)(b) of the Act. The term does not require an individual flexibility arrangement to be about permitted matters and to not include unlawful terms.
[8] Pursuant to s.203(2)(b) of the Act, the model consultation term at Schedule 2.2 of the Fair Work Regulations 2009 will be taken to be a term of the Agreement and is attached at Annexure A of this decision.
Better off overall test (BOOT)
Overtime and penalty rates
[9] The Commission wrote to the applicant with the concern that the higher base rates of pay under the Agreement may not be high enough to adequately compensate for the lower overtime rates as well as the lower penalty rates for weekend and public holiday work.
[10] The applicant has provided an undertaking that hours worked by employees on public holidays will attract the penalty rate equivalent to the Award rate. Further, the applicant has undertaken that in relation to weekend work specifically, and in relation to all hours worked generally, the rates paid will ensure that employees are better off under the Agreement.
Afternoon and night shifts
[11] The Commission wrote to the applicant noting that the Agreement does not offer night shift penalties which employees would otherwise be entitled to under the Award. Further, the Commission noted that while the Agreement provides for an afternoon shift penalty, it does not define “afternoon shift”. The Commission’s concern was that employees who work afternoon shifts under the Award may not be better off under that Agreement if they would not be eligible for the afternoon shift penalty under the Agreement.
[12] The applicant informed the Commission that currently it does not employ workers on afternoon or night shifts, but has provided an undertaking that if it introduces such shifts, the definitions in the Award will apply, as will the Award shift loadings.
Conclusion
[13] Taking into account the higher rates of pay under the Agreement when compared with the Award, and the undertakings provided, I am satisfied that the Agreement results in employees being better off overall under the Agreement.
Undertakings
[14] The undertakings are taken to be a term of the Agreement and a copy is attached at Annexure B. The undertakings are not so substantial that if asked to vote again the employees who voted would not approve the Agreement. I am therefore satisfied that the undertakings do not result in a substantial change to the Agreement, as per s.190(3)(b) of the Act. The undertakings should be brought to the attention of the employees covered by the Agreement by the applicant.
[15] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.
[16] The Agreement is approved. In accordance with s.54(1), the Agreement will operate 7 days from approval. The nominal expiry date of the Agreement is 30 April 2020.
DEPUTY PRESIDENT
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Annexure A
Annexure B
- AGLC
- Brink's Australia Pty Ltd [2016] FWCA 5750
- Case
- [2016] FWCA 5750
- Decision Date
CaseChat Overview and Summary
The Commission examined the negotiation process and the terms of the agreement to ensure it was made in good faith and covered all mandatory bargaining items. The parties presented evidence regarding the negotiation process and the rationale behind specific terms of the agreement. The Security Officers Union of Australia argued that the agreement failed to adequately address certain employee entitlements and that some provisions were unfair. Brink's Australia Pty Ltd, on the other hand, contended that the agreement was a fair reflection of the bargaining process and provided necessary protections and benefits to employees. The Commission had to weigh these arguments and decide whether the agreement met the statutory requirements for approval.
After considering the submissions and evidence from both parties, the Commission concluded that the negotiation process was conducted in good faith and that the agreement contained terms that were fair and reasonable. The Commission found that the agreement adequately addressed minimum wages, provided for appropriate entitlements, and was not detrimental to the employees. The Commission approved the agreement, noting that it met the necessary criteria under the Fair Work Act 2009. The Commission's decision was based on the comprehensive nature of the agreement and its compliance with industrial laws.
The Fair Work Commission approved the Brink's Australia Pty Ltd Perth Enterprise Agreement 2016, effective from the date of the decision. The approval was subject to the agreement being registered with the Fair Work Commission. The decision confirmed that the agreement was fair and reasonable, and met all legal requirements for enterprise agreements under the Fair Work Act 2009.
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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