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

[2013] FWCA 7776

[2013] FWCA 7776

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s 185 - Application for approval of a greenfields agreement

Compass Group (Australia) Pty Ltd T/A ESS Support Services Worldwide
(AG2013/9592)

COMPASS GROUP & AWU (ESS REMOTE - SOUTH AUSTRALIA) GREENFIELDS AGREEMENT 2013

Hospitality industry
DEPUTY PRESIDENT SAMS	SYDNEY, 4 OCTOBER 2013

Application for approval of the Compass Group & AWU (ESS Remote - South Australia) Greenfields Agreement 2013.

[1] This is an application, pursuant to s 185 of the Fair Work Act 2009 (the ‘Act’), filed by Compass Group (Australia) Pty Ltd (the ‘applicant’) which seeks the approval of the Fair Work Commission (the ‘Commission’) of a greenfields agreement to be known as the Compass Group & AWU (ESS Remote - South Australia) Greenfields Agreement 2013 (the ‘Agreement’). The Agreement was negotiated with the Australian Workers Union (the ‘Union’). The Agreement is to cover prospective employees (other than managers) who are engaged by three related entities of the applicant to perform work at or in connection with the ESS Remote business in South Australia. For the purposes of s 186(3) of the Act, I am satisfied that the group of employees to be covered by this Agreement has been fairly chosen.

[2] The Agreement was negotiated with the Union, which I am satisfied is entitled to represent the industrial interests of a majority of the prospective employees who will be covered by the Agreement, in relation to work to be performed under the Agreement (s 187(5)(a) of the Act). The Agreement was made on 17 September 2013. The application for approval of the Agreement was lodged on 25 September 2013, thereby satisfying s 185(4) of the Act.

[3] In the Employer’s Declaration in support of the application (Form F20) Ms Catherine Anne Holmes, the applicant’s National Workplace Relations Manager, identified the Hospitality Industry (General) Award 2010 [MA000009] and the Mining Miscellaneous Award [AN150086] as the relevant reference instruments for the purposes of the Better Off Overall Test (the ‘BOOT’). Ms Holmessaid that the Agreement provides for higher wage rates, full Modern Award percentages/amounts for weekend penalty rates and early/late work penalties rather than the transitional percentages/amounts and those employees who are accommodated on site will receive all meals and accommodation with no deduction from their wages. Ms Holmes said that the Agreement contained no less beneficial terms and conditions when compared with the relevant reference instruments. Accordingly, I am satisfied that the Agreement passes the BOOT. The Agreement provides for the mandatory flexibility and consultation terms at clauses 7 and 8 respectively, and a disputes resolution procedure at clause 9 provides for conciliation, mediation and arbitration by the Commission.

[4] At a hearing of the application on 2 October 2013, Ms C Holmes appeared for the applicant and Mr P Lamps for the Union. The Union had filed a Declaration in relation to the application (Form F21) supporting the approval of the Agreement. I note that the Union is a party to the Agreement. Ms Holmes outlined the main features of the Agreement and submitted that all of the legislative requirements for approval of the Agreement have been satisfied and the Agreement should be approved by the Commission. Ms Holmes informed me that the Agreement will cover approximately 50 to 60 employees working in remote mine sites in South Australia. She said that the applicant has tendered to provide services at Olympic Dam, South Australia and that, if the tender is successful, the employees engaged to provide those services will be covered by the Agreement. Ms Holmes stated that this Agreement was similar in nature to other agreements filed by the applicant which had been previously approved by the Commission. Mr Lamps supported the applicant’s submissions.

[5] Having heard the parties’ submissions and upon reviewing the terms of the preapproval process documentation and the Agreement itself, I am satisfied that all of the requirements of the Act, in particular ss 182, 186, and 187, in so far as relevant to this application, have been met. Accordingly, I approve a greenfields agreement known as the Compass Group & AWU (ESS Remote - South Australia) Greenfields Agreement 2013. Pursuant to s 54 of the Act, the Agreement shall operate from 9 October 2013 and have a nominal expiry date of 8 October 2017.

DEPUTY PRESIDENT

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