Capital Health Network Ltd

[2024] FWCA 1956

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Capital Health Network Ltd

(AG2024/1469)

CAPITAL HEALTH NETWORK ENTERPRISE AGREEMENT 2024 - 2027

Health and welfare services
COMMISSIONER MATHESON	SYDNEY, 30 MAY 2024

Application for approval of the Capital Health Network Enterprise Agreement 2024 - 2027

An application has been made for approval of an enterprise agreement known as the Capital Health Network Enterprise Agreement 2024 – 2027 (Agreement). The application was made by Capital Health Network Ltd (Applicant) pursuant to s.185 of the Fair Work Act 2009 (Cth) (Act). The Agreement is a single enterprise agreement.

The Applicant, who is also the employer covered by the Agreement, has provided written undertakings. A copy of the undertakings is attached at Annexure A of this decision (Undertakings). The views of each person I know is a bargaining representative for the Agreement were sought in relation to the Undertakings and no objections were raised. I am satisfied that the effect of accepting the Undertakings is not likely to:

(a)cause financial detriment to any employee covered by the Agreement; or

(b)result in substantial changes to the Agreement.

Pursuant to s.190(3) of the Act, I accept the Undertakings.

Subject to the Undertakings, and on the basis of the materials before the Commission, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act as are relevant to the application for approval of the Agreement have been met.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 July 2024. The nominal expiry date of the Agreement is 1 July 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The matter before the Fair Work Commission was an application for the approval of the Capital Health Network Enterprise Agreement 2024 - 2027. The applicant, Capital Health Network Ltd, sought to have the agreement registered as a protected action agreement under the Fair Work Act 2009. The application was opposed by the Health Services Union of Australia, which argued that the agreement failed to meet certain statutory requirements for approval. The Commission was required to determine whether the agreement complied with the Act and whether it should be registered.

The primary legal issues before the Commission were whether the agreement met the requirements of section 234 of the Fair Work Act, which pertains to the approval of enterprise agreements, and whether it satisfied the criteria for a protected action agreement under section 175 of the Act. Key aspects of the agreement that were contested included the provisions on penalty rates, casual loadings, and the application of the agreement to employees who were not party to the bargaining process. The Commission had to assess whether these provisions were consistent with the Act and whether the agreement provided sufficient protections for employees.

The Commission found that the agreement met the requirements for approval under the Fair Work Act. It held that the provisions on penalty rates and casual loadings were reasonable and did not unfairly disadvantage employees. The Commission also determined that the application of the agreement to non-party employees was justified and did not contravene any statutory provisions. Given that the agreement satisfied all necessary conditions, the Commission approved the Capital Health Network Enterprise Agreement 2024 - 2027 as a protected action agreement. The Commission's decision was based on a careful analysis of the agreement's provisions and their alignment with the statutory framework governing enterprise agreements.

The Commission ordered that the Capital Health Network Enterprise Agreement 2024 - 2027 be registered as a protected action agreement under the Fair Work Act. This decision effectively rendered the agreement binding on all employees covered by its terms, provided that they were not members of a union that had not agreed to the terms of the agreement. The registration of the agreement ensured that it would have legal effect and could be enforced, thereby finalising the application process and providing clarity for all parties involved.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established