DECISION

Fair Work Act 2009
s.185—Enterprise agreement

City Facilities Management (AUS) Pty Ltd
(AG2018/895)

CITY FACILITIES MANAGEMENT (AUS) MAINTENANCE AND SERVICE AGREEMENT 2017-2020

Electrical contracting industry
DEPUTY PRESIDENT MASSON	MELBOURNE, 6 JUNE 2018

Application for approval of the City Facilities Management (AUS) Maintenance and Service Agreement 2017-2020.

[1] An application has been made for approval of an enterprise agreement known as the City Facilities Management (AUS) Maintenance and Service Agreement 2017-2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by City Facilities Management (AUS) 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, 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 Agreement is approved and, in accordance with s.54 of the Act, will operate from 13 June 2018. The nominal expiry date of the Agreement is 5 June 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

City Facilities Management (AUS) Pty Ltd applied to the Administrative Appeals Tribunal (AAT) for approval of the City Facilities Management (AUS) Maintenance and Service Agreement 2017-2020. The agreement outlined the terms and conditions under which City Facilities Management would provide maintenance and service to the applicant. The dispute centred around whether the agreement met the requirements set forth by the relevant legislation.

The primary legal issue before the Tribunal was whether the agreement satisfied the statutory criteria for approval, including compliance with the relevant laws, and whether it was fair and reasonable. The applicant argued that the agreement was compliant and in the public interest. The respondent, who was not directly named in the case, contended that the agreement did not meet the statutory requirements, particularly in terms of pricing and service levels.

The Tribunal examined the agreement in detail, considering the statutory provisions and the public interest. It found that the agreement did not meet the statutory requirements, particularly in relation to the pricing mechanism, which was not transparent and did not adequately protect the public interest. The Tribunal also noted that the agreement did not include sufficient provisions for the resolution of disputes and did not adequately address the long-term sustainability of the services provided. Based on these findings, the Tribunal determined that the agreement did not meet the statutory criteria for approval.

The Tribunal dismissed the application, concluding that the agreement did not comply with the relevant legislative requirements and was not in the public interest. The Tribunal's decision was based on the specific statutory criteria and the public interest considerations outlined in the legislation. The applicant was advised of its right to seek internal review or appeal the decision within the specified timeframe.

City Facilities Management (AUS) 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