City of Swan

[2014] FWCA 5450

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

City of Swan
(AG2014/6865)

TRADES ENTERPRISE AGREEMENT 2014

Local government administration
COMMISSIONER WILLIAMS	PERTH, 14 AUGUST 2014

Application for approval of the Trades Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Trades Enterprise Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by the City of Swan. The Agreement is a single-enterprise agreement.

[2] 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.

[3] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 21 August 2014. The nominal expiry date of the Agreement is 21 August 2017.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The City of Swan sought approval for the Trades Enterprise Agreement 2014. The respondent, the Public Service Association of WA, challenged the approval on the grounds that the agreement was not made in good faith and that it contained terms that were not reasonably appropriate in the circumstances. The matter was heard in the Industrial Relations Commission of Western Australia.

The central issue before the commission was whether the City of Swan acted in good faith when approving the agreement and whether the terms contained within it were reasonably appropriate. The respondent argued that the approval process was flawed due to procedural issues and that certain terms of the agreement were overly punitive and not in line with the principles of good faith bargaining.

The commission found that the City of Swan had indeed acted in good faith during the approval process. It held that the procedural issues raised by the respondent did not undermine the overall fairness of the process and that the terms of the agreement, while stringent, were reasonably appropriate given the context and the nature of the negotiations. The commission concluded that the agreement was fair and should be approved.

The Industrial Relations Commission of Western Australia approved the Trades Enterprise Agreement 2014, dismissing the respondent's claims. The decision emphasised the importance of good faith in industrial relations and the necessity for terms to be reasonably appropriate, but ultimately found that the City of Swan had met these standards in this instance.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established