Compass Group (Australia) Pty Ltd Trading AS Compass Group - [2025] FWC 1201

[2025] FWC 1201

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.603 – Application to vary or revoke a FWC decision

Compass Group (Australia) Pty Ltd Trading AS Compass Group

(C2024/7709)

COMMISSIONER LIM

PERTH, 1 MAY 2025

Application to vary decision [2025] FWC 1067 - granted

On Tuesday 15 April 2025, I issued my Decision in [2025] FWC 1067. In that Decision, I dismissed Compass Group (Australia) Pty Ltd T/A Compass Group’s application under s 120 of the Fair Work Act 2009 (Cth) to vary its obligation to pay redundancy pay to workers who had previously been employed under Compass Group’s Facilities Management Agreement at the Queensland Children’s Hospital.

In that Decision, I ordered that Compass Group was to pay all outstanding redundancy payments to the Affected Employees within 14 days of the Decision, which would be Tuesday 29 April 2025. Compass Group has applied under s 603 of the Act to vary this date to Wednesday 7 May 2025.

Compass Group submits that it has been receiving updated banking details from a number of Affected Employees and verifying those details. They require further time to ensure payments can be made to an affected employee’s correct bank account. Further, in light of the recent public holidays and leave periods, less resources have been on hand to complete the task of updating bank details and setting up the payments.

The Australian Workers’ Union and United Workers’ Union indicated they would not contest the extension sought if Compass Group undertook that it would not be appealing the Decision. Compass Group did so.

Section 603 of the Act grants the Commission the power to vary or revoke a decision of the Commission on its own initiative or on application by a person who is affected by the decision. I am satisfied that Compass Group has standing to make the application.

The Decision was made under Part 2-2 of the Act. It is therefore not excluded from variation by s 603(2).

The power under s 603 was considered by the High Court in Esso Australia Pty Ltd v The Australian Workers’ Union.[1]It is a broad power, but this does not mean it should be exercised without cause.

In this case, I am satisfied it is appropriate to make the variation sought. Compass Group seeks an additional week to make the redundancy payments. The Decision concerns approximately 200 former employees. I accept that this is a large administrative undertaking. It is also not controversial that the Easter and ANZAC Day public holidays took place between the Decision being issued and the original date ordered for payment.

Accordingly, I order that the Decision be varied as follows:

Compass Group also seeks an order for an extension of the timeframe to pay all outstanding redundancy entitlements to the Affected Employees after the termination of their employment. The extension is sought to provide the necessary time for the resolution of this application. There was no objection from the AWU or the UWU to this request. To…

Grounds of appeal

[14] The appellant contends that the primary judge erred in finding that the respondent had discharged the onus of establishing the matters required under the relevant provision.

[15] It was submitted that his Honour failed to give adequate weight to the evidence of the second witness, and that the findings of fact were not reasonably open on the material before the Court.

[16] The respondent, for its part, submits that no error is disclosed, and that the conclusions reached were well within the range of outcomes available to the primary judge.

Consideration

[17] It is convenient to deal first with the question of construction, as the resolution of that issue informs the remaining grounds advanced by the appellant.

[18] For the reasons that follow, we are of the view that the appeal should be allowed in part and the matter remitted for further determination.

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Details

Case: [2025] FWC 1201
Decision Date: 1 MAY 2025

CaseChat Overview and Summary

Compass Group (Australia) Pty Ltd Trading as Compass Group applied to the Fair Work Commission (FWC) for an extension of time to pay outstanding redundancy payments to former employees who had worked under its Facilities Management Agreement at the Queensland Children's Hospital. The Commission had previously ordered Compass Group to pay the outstanding redundancy payments by 29 April 2025, but Compass Group sought an additional week to make these payments, citing difficulties in verifying the updated banking details of the affected employees and the impact of recent public holidays. The Australian Workers’ Union and United Workers’ Union indicated they would not contest the extension if Compass Group agreed not to appeal the original decision.

The legal issue before the Commission was whether it should grant the extension under section 603 of the Fair Work Act 2009, which allows the Commission to vary or revoke its own decisions. The Commission considered whether the application was made in good faith and whether there were reasonable grounds for the extension. The Commission noted that Compass Group had standing to make the application and that the decision in question was not excluded from variation under section 603(2). The Commission also considered the broad power granted under section 603 but emphasised that it should not be exercised without cause.

The Commission was satisfied that Compass Group had provided reasonable grounds for the extension. Compass Group had indicated that it was in the process of verifying the banking details of the affected employees, which was a significant administrative task. The Commission also took into account the impact of recent public holidays, which had reduced the resources available to Compass Group. Given the large number of former employees involved and the administrative burden, the Commission found it appropriate to grant the extension. The Commission ordered that all outstanding redundancy payments be made by 5pm AWST on 7 May 2025. Compass Group was also required to notify all affected employees of this decision.

Orders