[2014] FWCD 7794
DECISION
| Fair Work (Registered Organisations) Act 2009 | |
| s.159—Alteration of other rules of organisation | |
| Flight Attendants' Association of Australia | |
| (R2014/27) | |
| MR ENRIGHT | MELBOURNE, 23 DECEMBER 2014 |
| Alteration of other rules of organisation. |
[1] On 19 February 2014 the Flight Attendants' Association of Australia (the union)
lodged with the Fair Work Commission (the Commission) a notice and declaration setting out
particulars of alterations to the rules of the Flight Attendants' Association of Australia.
[2] The particulars set out alterations to Rule 31 and Rule 38 of the rules of the Flight
Attendants' Association of Australia. The alterations to Rule 31 clarify the Division of the
union to which Officers are allocated. The alterations to Rule 38 delete provisions regarding
the eligibility of employees of the union to run for office.
[3] Between 28 February 2014 and 13 May 2014, 196 persons raised concerns in relation
to the above alterations. I will refer to these 196 persons as the ‘opposers’. Some opposers
merely stated their opposition without putting forward any reasons. Others stated their
reasons, which are summarised as follows:
| | The membership was not adequately informed of the alterations; |
The timing of the alterations was inappropriate as the union was dealing with
significant industrial issues;
| | The alterations allow for a non-airline employee to run for office; |
| | The alterations do not provide for remuneration and conditions for elected officers; |
| | The alterations may result in a financial burden on the union; and |
| | The alterations diminish standards of corporate governance. |
[4] On 23 April 2014 the union lodged an application for consent to an alteration to the
eligibility rules of the union (Rule 4). The alteration to the eligibility rule provides that
persons who are elected or appointed officers of the union are eligible to be members
irrespective of whether they are employed in the airline industry.
[5] Between 9 May 2014 and 13 May 2014 the Commission emailed a letter to each of the
opposers advising that the examination and determination of the alterations to Rules 31 and
38 will be deferred until after the application of the eligibility rule has been determined
because these alterations appear to be reliant on the approval of the alteration to the eligibility
rule.
[2014] FWCD 7794
[6] This correspondence also advised each opposer that if they wished to make a
submission regarding the alterations to Rules 31 and 38, that they would need to identify
whether they are a member of the union and that their submission would need to address the
matters set out in paragraphs (a), (b) and (c) of subsection 159(1) of the Fair Work
(Registered Organisations) Act 2009 (the Act). Subsection 159(1) of the Act provides:
159 Alteration of other rules of organisation
(1) An alteration of the rules (other than the eligibility rules) of an
organisation does not take effect unless particulars of the alteration have
been lodged with the FWC and the General Manager has certified that, in
his or her opinion, the alteration:
(a) complies with, and is not contrary to, this Act, the Fair Work Act, modern awards and enterprise agreements; and
(b) is not otherwise contrary to law; and
(c) has been made under the rules of the organisation.
[7] The correspondence also advised each opposer how to make a valid objection to the
alteration to the eligibility rule. Although a total of 129 valid objections to the alteration to the
1
| eligibility rule were lodged with the Commission | , no submissions regarding the alterations to |
| Rules 31 and 38 were lodged. |
[8] On 30 October 2014 in [2014] FWC 7631 the objections were dismissed and consent
2
given to the alteration to the eligibility rule.
[9] As stated above, the alterations to Rule 31 clarify the Division to which Officers are
allocated. As a consequence of the Commission’s consent to alter the eligibility rule in [2014]
FWC 7631, the rules explicitly entitle Officers to membership of the union. The alteration to
Rule 31 gives effect to the alteration to the eligibility rule and therefore is suitable for
certification.
[10] The proposed alterations delete Sub-Rule 38(5)(a). This Sub-Rule disqualifies an
employee of the union who has never been employed in a position covered by the eligibility
rule from nominating for and holding office. Currently only financial members of the union
are entitled to nominate for office (Sub-Rule 38(2)), therefore an employee of the union who
has never been employed in a position covered by the eligibility rule is not, in any event,
entitled to nominate for office. The deletion of Sub-Rule 38(5)(a) removes an existing
anomalous provision.
[11] The proposed alterations also delete Sub-Rule 38(5)(b). This Sub-Rule disqualifies a
member who becomes an employee of the union from nominating for and holding office. The
effect of the deletion of this Sub-Rule enables members who subsequently become employees
of the union to nominate for and hold office, as long as they remain a financial member of the
union. Although no submissions were lodged by any of the opposers, I note that one issue of
concern mentioned by some of the opposers is that the proposed alterations allow a non-
airline employee to run for office. In my view the question of whether employees of the union
who have maintained their financial membership are entitled to nominate and hold office is a
matter for the union. I do not consider that there is anything inherently oppressive,
unreasonable or unjust in allowing members who work for the union to nominate for and hold
[2014] FWCD 7794
office. On the contrary, in my view, rules that enable all members to nominate for and hold
office further the democratic aims of the Act.
[12] The opposers also expressed the views that the alterations do not provide for
remuneration and conditions for elected Officers, the alterations may result in a financial
burden on the union and that the alterations diminish the standards of corporate governance.
As no submissions were lodged it is unclear how these issues relate to the alterations before
me. On the face it appears that these issues go to the question of whether Officers of the union
should be entitled to membership of the union. As stated above this question has already been
determined in [2014] FWC 7631.
[13] Some opposers stated that the membership was not adequately informed of the
alterations and that the timing of the alterations was inappropriate as the union was dealing
3
| with significant industrial issues. As discussed in [2014] FWC 7631 | these concerns do not |
constitute a proper basis to refuse to consent to the alterations. On the information contained
in the notice, I am satisfied the alterations have been made under the rules of the organisation.
[14] Accordingly, I am of the opinion that the proposed alterations are suitable for
certification. In my opinion, the alterations comply with and are not contrary to the Fair Work
(Registered Organisations) Act 2009, the Fair Work Act 2009, modern awards and enterprise
agreements, and are not otherwise contrary to law. I certify accordingly under subsection
159(1) of the Fair Work (Registered Organisations) Act 2009.
| DELEGATE OF THE GENERAL MANAGER |
| Printed by authority of the Commonwealth Government Printer |
| <Price code A, PR557319> |
1
Flights Attendants’ Association of Australia [2014] FWC 7631 at [5]
2
Ibid at [29]
3
Ibid at [22]
- AGLC
- Flight Attendants' Association of Australia [2014] FWCD 7794
- Case
- [2014] FWCD 7794
- Decision Date
CaseChat Overview and Summary
The primary legal issues before the court were whether the proposed alterations complied with the Fair Work (Registered Organisations) Act 2009, the Fair Work Act 2009, modern awards, and enterprise agreements, and whether they were otherwise contrary to law. The court examined the objections raised by the opposers and considered whether these objections provided a valid basis to refuse consent to the alterations. The court also noted that the union had simultaneously applied to alter its eligibility rules, which would affect the interpretation and application of the alterations to Rules 31 and 38.
The court concluded that the proposed alterations were suitable for certification. The alteration to Rule 31 was deemed necessary to give effect to the previously certified alteration to the eligibility rule, which allowed Officers to be members of the union. The deletion of certain sub-rules in Rule 38 was found to remove anomalous provisions and did not constitute an oppressive, unreasonable, or unjust change. The court rejected the concerns about the adequacy of communication and the timing of the alterations, finding them to be outside the scope of proper legal objections. Ultimately, the court was satisfied that the alterations were made in accordance with the union's rules.
The Fair Work Commission certified the alterations to Rules 31 and 38, finding that they complied with the Fair Work (Registered Organisations) Act 2009, the Fair Work Act 2009, modern awards, and enterprise agreements, and were not otherwise contrary to law. The court's decision effectively allows the union to implement the changes as proposed, subject to the conditions and oversight provided by the Act.
Orders
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