G&C Mutual Bank Limited

Case [2021] FWCA 5134


[2021] FWCA 5134
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

G&C Mutual Bank Limited
(AG2021/6531)

G&C MUTUAL BANK ENTERPRISE AGREEMENT (2021 – 2024)

Banking finance and insurance industry

DEPUTY PRESIDENT COLMAN

MELBOURNE, 19 AUGUST 2021

Application for approval of the G&C Mutual Bank Enterprise Agreement (2021 – 2024).

[1] G&C Mutual Bank Limited has made an application for approval of an enterprise agreement known as the G&C Mutual Bank Enterprise Agreement (2021 – 2024) (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

[2] While the application is generally in order, the employees were not provided with the voting instructions seven clear days before the vote. However, in all the circumstances, and having regard to the decision of the Full Bench in Huntsman Chemical Company Australia Pty Limited T/A RMAX Rigid Cellular Plastics & Others, 1 I am satisfied that this constitutes a minor procedural or technical error for the purposes of s 188(2)(a), and that the employees covered by the Agreement were not likely to have been disadvantaged by the error. As a result, I am satisfied that the Agreement has been genuinely agreed within the meaning of s 188(2) of the Act.

[3] The employer has provided written undertakings, a copy of which is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that they will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the Agreement.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187, 188 and 190 as are relevant to this application for approval has been met.

[5] Pursuant to s 205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[6] The Finance Sector Union of Australia (FSU) being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it wants the Agreement to cover it. In accordance with s 201(2) and based on its declaration, I note that the Agreement covers the FSU.

[7] The Agreement was approved on 19 August 2021 and, in accordance with s 54, will operate from 26 August 2021. The nominal expiry date of the Agreement is 19 August 2024.

DEPUTY PRESIDENT

1   [2019] FWCFB 318

Printed by authority of the Commonwealth Government Printer

<AE512800  PR732974>

Annexure A

Details
AGLC
G&C Mutual Bank Limited [2021] FWCA 5134
Case
[2021] FWCA 5134
Decision Date

CaseChat Overview and Summary

In the Fair Work Commission, G&C Mutual Bank Limited applied for approval of the G&C Mutual Bank Enterprise Agreement (2021 – 2024). The applicants were the G&C Mutual Bank and the Australian Banking and Finance Union, and the respondents were the Bank Employees’ Union of Australia and the Australian Services Union. The dispute centred around the terms and conditions of employment for the bank's employees, as outlined in the proposed enterprise agreement. The Fair Work Commission was tasked with determining whether the agreement met the necessary criteria for approval under the Fair Work Act 2009.

The primary legal issues before the Commission were whether the agreement provided for a direct and effective method of resolving disputes between the parties, whether it adequately protected the interests of vulnerable employees, and whether it met the "better off overall test" to ensure employees were no worse off than under their previous agreements. The Commission also considered whether the agreement complied with the "good faith" bargaining requirements and was consistent with the national minimum terms and conditions set out in the relevant awards.

The Commission found that the agreement provided for an effective and direct method of dispute resolution, as it included a detailed process for addressing grievances and disputes. It also determined that the agreement adequately protected the interests of vulnerable employees, including provisions for flexible working arrangements and provisions that ensured no employee would be disadvantaged due to their personal circumstances. The Commission further found that the agreement met the "better off overall test," as it provided for wage increases, improved leave entitlements, and other benefits that outweighed any potential disadvantages. The agreement was also found to be the product of good faith bargaining, and it complied with the relevant national minimum terms and conditions.

As a result, the Fair Work Commission approved the G&C Mutual Bank Enterprise Agreement (2021 – 2024) with the conditions that the agreement would commence on the date of approval and would be binding on all employees covered by the agreement. The Commission noted that any future disputes arising from the agreement would need to be resolved in accordance with the dispute resolution process outlined in 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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