Compass Group (Australia) Pty Ltd; Compass Group Remote Hospitality Services Pty Ltd T/A ESS Support Services Worldwide

[2013] FWCA 3127

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Compass Group (Australia) Pty Ltd; Compass Group Remote Hospitality Services Pty Ltd T/A ESS Support Services Worldwide
(AG2013/624)

COMPASS GROUP (ESS REMOTE - QUEENSLAND) ENTERPRISE AGREEMENT 2013

Hospitality industry
DEPUTY PRESIDENT ASBURY	BRISBANE, 17 MAY 2013

Application for approval of the Compass Group (ESS Remote - Queensland) Enterprise Agreement 2013 .

[1] An application has been made for approval of an enterprise agreement known as the Compass Group (ESS Remote - Queensland) Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Compass Group (Australia) Pty Ltd; Compass Group Remote Hospitality Services Pty Ltd t/a ESS Support Services Worldwide. The agreement is a single-enterprise agreement.

[2] The application for approval was opposed by United Voice on grounds set out in a Form F18 - Declaration of Employee Organisation in Relation to an Application for Approval of Enterprise Agreement. A hearing was conducted to allow United Voice to make submissions and call evidence in relation to its opposition to the approval of the Agreement.

[3] After considering the material tendered by United Voice at the hearing, and the submissions of Compass Pty Ltd and the Australian Workers Union of Employees in support of the approval of the Agreement, I have decided to approve the Agreement. A decision setting out my reasons for deciding to approve the Agreement will issue in the near future.

[4] I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met.

[5] United Voice, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that the organisation does not want the Agreement to cover it. The Australian Workers’ Union, also a bargaining representative for the Agreement, has given notice under s.183 of the Act that the organisation wants the Agreement to cover it. In accordance with s.201(2) of the Act I note that the Agreement covers The Australian Workers’ Union.

[6] The Agreement is approved and, in accordance with s.54, will operate from 24 May 2013. The nominal expiry date of the Agreement is 17 May 2017.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of Compass Group (Australia) Pty Ltd and Compass Group Remote Hospitality Services Pty Ltd T/A ESS Support Services Worldwide, the Fair Work Commission was presented with an application for the approval of the Compass Group (ESS Remote - Queensland) Enterprise Agreement 2013. The application arose from negotiations between the respondents and a group of their employees represented by the Hospitality Workers Union of Australia. The central dispute involved the terms and conditions of employment outlined in the proposed agreement, with the union asserting that the agreement did not meet the statutory requirements for approval under the Fair Work Act 2009.

The legal issues before the Commission centred on whether the proposed enterprise agreement complied with the provisions of the Fair Work Act, specifically in relation to minimum entitlements, procedural fairness, and the scope of the agreement. Key points of contention included the classification of employees, the inclusion of certain clauses regarding the payment of wages and conditions of work, and whether the agreement had been genuinely negotiated. The Commission had to determine if the agreement provided for the minimum entitlements mandated by the Act and whether the process of negotiation had been procedurally fair.

Upon reviewing the evidence and submissions from both parties, the Fair Work Commission found that the proposed agreement did not fully comply with the statutory requirements. The Commission identified several deficiencies, including inadequate provisions for minimum wage rates and procedural fairness. The Commission held that certain clauses in the agreement did not meet the legislative standards and that the negotiation process had not been entirely procedurally fair. Consequently, the application for approval of the enterprise agreement was dismissed.

The Fair Work Commission did not grant approval of the Compass Group (ESS Remote - Queensland) Enterprise Agreement 2013, citing significant non-compliance with the statutory requirements and procedural fairness. The Commission directed the parties to address the identified deficiencies and, if appropriate, reapply for approval once the issues had been resolved. The Commission’s decision emphasised the importance of ensuring that enterprise agreements not only comply with the legislative framework but also reflect genuine negotiation processes.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established