Flight Attendants' Association of Australia

The Flight Attendants' Association of Australia (the Association) lodged an application with the Fair Work Commission for the certification of alterations to its rules. The proposed alterations involved significant changes to the Association's structure, transitioning from a divisional to a unified system over an extended period. The changes were contested by two members of the Association, Mr. Lou Nesci and Mr. David Horsfall, who objected to the proposed alterations on the grounds that they had not been made in accordance with the existing rules and might be contrary to other laws.

The legal issues before the court were whether the alterations had been made in accordance with the rules of the Association and if they were contrary to any other laws. Specifically, the court had to determine whether the Federal Council had the authority to alter the rules despite a prior plebiscite conducted within the International Division. The court also had to consider whether the proposed rule changes complied with the Fair Work (Registered Organisations) Act 2009, the Fair Work Act 2009, modern awards and enterprise agreements, and if they were otherwise contrary to law.

After reviewing the submissions from all parties, the court found that the alterations had been made in accordance with the rules of the Association. The court held that a plebiscite conducted under Rule 42(2) only binds the Divisional Councils and Divisional Executives and does not extend to the Federal Council. Therefore, the Federal Council had the authority to alter the rules even if it meant overriding the directions made by the International Division plebiscite. The court also rejected the claim that the Federal Council acted beyond its powers by ignoring the direction carried under the Association rules by way of plebiscite under Rule 42. Consequently, the objections to the rule altering process were rejected.

The court further found that the proposed rule alterations did not contravene any other laws and were not contrary to the Fair Work (Registered Organisations) Act 2009, the Fair Work Act 2009, modern awards and enterprise agreements. The court certified the alterations under subsection 159(1) of the Fair Work (Registered Organisations) Act 2009.