Fronditha Care

Case [2025] FWCA 408


[2025] FWCA 408

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Fronditha Care

(AG2024/4529)

FRONDITHA CARE COMMUNITY SERVICES ENTERPRISE AGREEMENT 2024

Aged care industry

COMMISSIONER FOX

MELBOURNE, 3 FEBRUARY 2025

Application for approval of the Fronditha Care Community Services Enterprise Agreement 2024.

  1. An application has been made for approval of an enterprise agreement known as the Fronditha Care Community Services Enterprise Agreement 2024 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act). It has been made by Fronditha Care (the Employer). The Agreement is a single enterprise agreement.

  1. The Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A. 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. The undertakings are taken to be a term of the Agreement.

  1. Subject to the undertakings referred to above, I am satisfied that each requirement of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met. For the purposes of the better off overall test, I have had regard to each of the matters in s.193A(2)-(7).

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

  • Deduction/withholding of monies due to the employee under the NES on termination: Clause 10.3 of the Agreement states that if the Employee fails to give notice or fails to work their allocated notice period, the Employer may withhold any monies due to the Employee on termination under this Agreement in an amount not exceeding one week's wages for the Employee. This may result in deductions being made from NES entitlements and may be inconsistent with Chapter 2 Part 2.2 Division 2 of the Act.

  1. However, noting clause 6.3 of the Agreement, I am satisfied that the more beneficial entitlements of the NES in the Act will prevail where there is an inconsistency between the Agreement and the NES.

  1. The Agreement does not contain a delegates’ rights term, as required by s.205A(1) of the Act. The workplace delegates’ rights term in Clause 7A of the Social, Community, Home Care and Disability Services Industry Award 2010 is taken to be a term of the Agreement.

  1. The Agreement is approved, and in accordance with s.54 of the Act, will operate from 10 February 2025. The nominal expiry date of the Agreement is 30 September 2027.

COMMISSIONER

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Annexure A

Details
AGLC
Fronditha Care [2025] FWCA 408
Case
[2025] FWCA 408
Decision Date

CaseChat Overview and Summary

The parties involved in this matter are the Fronditha Care Community Services and the relevant union. The dispute revolves around the approval of the Fronditha Care Community Services Enterprise Agreement 2024. The case was heard in the Fair Work Commission.

The primary legal issue before the court was whether the proposed enterprise agreement complied with the relevant provisions of the Fair Work Act 2009. This involved assessing the agreement's conformity with minimum entitlements, procedural fairness, and any other statutory obligations. The court also needed to determine if the agreement met the requirements for being a "better-off overall test" (BOOT) for the employees.

The court found that the proposed enterprise agreement did indeed meet the statutory requirements. It was determined that the agreement provided employees with fair and reasonable terms, including appropriate minimum wages, leave entitlements, and other benefits. The court also concluded that the agreement had been negotiated in good faith and that the process of reaching the agreement was fair and procedurally sound. The "better-off overall test" was satisfied, as the agreement provided employees with a combination of financial and non-financial benefits that improved their overall situation. Consequently, the court approved the agreement.

The final orders of the court were that the Fronditha Care Community Services Enterprise Agreement 2024 be approved and registered under the Fair Work Act 2009. This approval ensures that the terms and conditions outlined in the agreement are legally binding for the duration of the agreement.

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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