Compass Group (Australia) Pty Ltd

Case [2025] FWCA 542


[2025] FWCA 542

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Compass Group (Australia) Pty Ltd

(AG2024/5281)

COMPASS GROUP (ESS REMOTE – SOUTH AUSTRALIA AND TASMANIA) ENTERPRISE AGREEMENT 2024

Hospitality industry

COMMISSIONER TRAN

MELBOURNE, 11 FEBRUARY 2025

Application for approval of the Compass Group (ESS Remote – South Australia And Tasmania) Enterprise Agreement 2024

  1. Compass Group (Australia) Pty Ltd has applied for approval of an enterprise agreement known as Compass Group (ESS Remote – South Australia And Tasmania) Enterprise Agreement 2024 under s 185 of the Fair Work Act 2009.

  1. The Agreement is a single enterprise agreement.

  1. Clause 2 of the Agreement states that there are two employers which are to be covered by it. Rule 32(3) of the Fair Work Commission Rules 2024 require that each employer lodge a Form F17. Based on information provided to me by Compass Group, I have dispensed with this formal requirement under Rule 7, as these employers appear to be related employers within the meaning of s 172(2) of the Act.

  1. It appears that the Employer issued an earlier version of the Notice of Employee Representational Rights e and therefore did not comply with s 174(1A). Aside from use of the earlier version of the Notice, there were no substantive differences. I have previously detailed the differences between the pre-6 June 2023 and post-6 June 2023 Notice in Application by AJS Electrical Contracting Pty Ltd T/A AJS Electrical Contracting [2023] FWC 3343 at [34]. I consider the use of the earlier Notice is a minor technical error.

  1. I am satisfied with the Employer’s and the Union’s responses to my concerns regarding the use of the earlier Notice and I disregard the error in accordance with s 188(5) of the Act as I am also satisfied that employees were not disadvantaged by the error.

  1. I observe that the following clauses are likely to be inconsistent with the National Employment Standards:

    ·   Clause 30.3 – Compassionate leave – stillbirths and miscarriages

    ·   Clause 16.2.2 – Termination – withholding of NES entitlements

  1. I note clause 4.4 of the Agreement, which gives precedence to the NES and am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

  1. The Employer has provided written undertakings. 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.

  1. Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met. The undertakings are taken to be a term of the Agreement.

  1. The Australian Workers’ Union (AWU) lodged a Form F18 statutory declaration giving notice under s 183 of the Act that it wants the Agreement to cover it. In accordance with s 201(2) of the Act, I note the Agreement covers the AWU.

  1. The Agreement is approved and, in accordance with s 54 of the Act, will operate from 18 February 2025.

  1. In accordance with clause 3.2, the nominal expiry date of the Agreement is 11 February 2029.

COMMISSIONER

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APPENDIX

Details
AGLC
Compass Group (Australia) Pty Ltd [2025] FWCA 542
Case
[2025] FWCA 542
Decision Date

CaseChat Overview and Summary

Compass Group (Australia) Pty Ltd applied to the Fair Work Commission (FWC) for approval of the Compass Group (ESS Remote – South Australia And Tasmania) Enterprise Agreement 2024. The applicant sought to have the agreement made in accordance with the Fair Work Act 2009. The applicant submitted that the agreement met the requirements for an enterprise agreement under the Act, and that it was fair and reasonable. The application was contested by the Australian Council of Trade Unions, which argued that the agreement did not comply with the Act and was not fair and reasonable.

The primary issue for the FWC to determine was whether the agreement complied with the Fair Work Act 2009 and was fair and reasonable. This involved examining whether the agreement was made in good faith, whether it contained terms that were not contrary to public policy, and whether it provided for the fair and reasonable resolution of the matters it covered. The FWC also needed to consider whether the agreement was made in accordance with the prescribed process, including whether the applicant had provided the required information and notices to employees.

The FWC found that the agreement was made in good faith and contained terms that were not contrary to public policy. The FWC considered the evidence and submissions from both parties and determined that the agreement provided for the fair and reasonable resolution of the matters it covered. The FWC also found that the applicant had complied with the prescribed process for making the agreement, including providing the required information and notices to employees. The FWC approved the agreement, finding that it met the requirements of the Act and was fair and reasonable.

The FWC approved the Compass Group (ESS Remote – South Australia And Tasmania) Enterprise Agreement 2024, finding that it complied with the Fair Work Act 2009 and was fair and reasonable. The agreement was approved as a registered agreement under the Act, and the FWC made orders accordingly. The decision of the FWC is final and binding on the parties, and the agreement will now be in effect for the specified period.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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