Credit Union Australia Limited t/as CUA

[2014] FWCA 5475

[2014] FWCA 5475

FAIR WORK COMMISSION

DECISION

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

Credit Union Australia Limited t/as CUA
(AG2014/6862)

CUA ENTERPRISE AGREEMENT 2014

Banking finance and insurance industry
DEPUTY PRESIDENT SAMS	SYDNEY, 15 AUGUST 2014

Application for approval of the CUA Enterprise Agreement 2014.

[1] This is an application, pursuant to s 185 of the Fair Work Act 2009 (the ‘Act’), filed by Credit Union Australia Limited t/as CUA (the ‘applicant’) which seeks the approval of the Fair Work Commission (the ‘Commission’) of a single enterprise agreement to be known as the CUA Enterprise Agreement 2014 (the ‘Agreement’). The Agreement was negotiated with the Finance Sector Union of Australia (the ‘Union’) and is to cover 743 employees, other than Management Employees, who are engaged at branches of the applicant’s credit union across 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 employees were last notified of their representational rights on 17 January 2014, and voting for the Agreement’s approval took place between 2 and 4 July 2014. The time limits under s 181(2) of the Act are thereby satisfied. In an electronic ballot conducted by a third party, 266 of the 454 employees who cast a valid vote agreed to approve the Agreement. The application for approval of the Agreement was lodged on 18 July 2014, thereby satisfying s 185(3) of the Act.

[3] In the Employer’s Declaration in support of the application (Form F17) Ms D Tsoubos, General Manager, Human Resources identified the Banking, Finance and Insurance Award 2010 [MA000019] as the relevant reference instrument for the purposes of the Better Off Overall Test (the ‘BOOT’). Ms Tsoubos said that the Agreement does provide for some terms and conditions which are less beneficial than those under the Award, including an extended span of ordinary hours, the removal of annual leave loading and the removal of an entitlement to an extra day of leave to seeking other employment on termination. However, the Agreement provides for a number of terms and conditions that are in excess of, or more beneficial than those under the Award, including higher rates of pay, minimum engagements, time off in lieu and a corporate wardrobe subsidy. Rates of pay are to be increased by 2% on 1 July 2014, 1 July 2015 and 1 July 2016, unless an employee is on a performance improvement plan or if they are rated below “Living” for Values Based Competencies. Employees are also eligible for a performance-based short term incentive of up to 3% and a further Sales Incentive. I am satisfied that the Agreement passes the BOOT. The Agreement provides for the mandatory flexibility and consultation terms at clauses 10 and 11 respectively, and a disputes resolution procedure at clause 12 provides for conciliation and arbitration by the Commission.

[4] At a hearing of the application on 8 August 2014, Mr N Le Mare, Solicitor,appeared with Ms K Quinn and Ms A Conroy for the applicant and Ms C Ong for the Union. The Union had filed a Declaration in relation to the application (Form 18) supporting the approval of the Agreement and giving notice that it wishes to be covered by the Agreement (s 183). For the purposes of s 201(2) of the Act, I note that the Union is to be covered by the Agreement. Mr Le Mare 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. Mr Le Mare explained that the Agreement would replace a prior enterprise agreement with similar coverage, but with slightly different terms and conditions. Ms Ong supported the submissions of Mr Le Mare, in particular agreeing that the Agreement met the BOOT.

[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 180, 186, 187 and 188, in so far as relevant to this application, have been met. Accordingly, I approve a single enterprise agreement known as the CUA Enterprise Agreement 2014.Pursuant to s 54 of the Act, the Agreement shall operate from 15 August 2014 and have a nominal expiry date of 30 June 2017.

DEPUTY PRESIDENT

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