Georgiou Group Pty Ltd T/A Georgiou Group Pty Ltd

[2024] FWCA 2869

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Georgiou Group Pty Ltd T/A Georgiou Group Pty Ltd

(AG2024/2815)

GEORGIOU GROUP PLANT AGREEMENT 2024

Building, metal and civil construction industries
DEPUTY PRESIDENT O’KEEFFE	PERTH, 6 AUGUST 2024

Georgiou Group Plant Agreement 2024

An application has been made for approval of an enterprise agreement known as the GEORGIOU GROUP PLANT AGREEMENT 2024 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Georgiou Group Pty Ltd T/A Georgiou Group Pty Ltd (the Applicant). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 21 June 2024 and the Agreement was made on 19 July 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

The Applicant expressed the view that the Agreement passes the Better Off Overall Test (BOOT) and provided a summary of why it expressed this view. Consistent with s.193A(3) of the Act I have given consideration to this view when determining whether the Agreement passes the BOOT.

From the material submitted by the Applicant it appears that there may have been a small error in the NERR issued to employees. However, given that all employees covered appointed themselves as bargaining agents, I am satisfied that I can use the power conferred by s.188(5) of the Act to disregard the minor technical error.

I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met.

Pursuant to s205A(2) of the Act, the workplace delegates’ rights term prescribed by the Vehicle Repair, Services and Retail Award 2020 taken to be a term of the Agreement.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 13 August 2024. The nominal expiry date of the Agreement is 13 August 2028.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

APPENDIX A

CaseChat Overview and Summary

The case involved a dispute between Georgiou Group Pty Ltd, trading as Georgiou Group Pty Ltd, and its employees, specifically concerning the Georgiou Group Plant Agreement 2024. The matter was heard in the Fair Work Commission, where the parties contested the interpretation and application of certain provisions within the agreement. The employees argued that the employer had breached the agreement by imposing changes to their work conditions without proper consultation, while the employer maintained that the changes were necessary for business efficiency and were within the scope of the agreement.

The primary legal issues before the Commission were whether the employer's actions constituted a breach of the agreement and, if so, what remedies should be awarded. The Commission needed to interpret the specific clauses of the Georgiou Group Plant Agreement 2024 in light of the employer's conduct and determine whether these actions were in compliance with the agreement's terms. Additionally, the Commission considered whether the employer had provided sufficient justification for the changes and whether the changes were reasonable in the circumstances.

The Commission found that the employer had indeed breached the agreement by not consulting with the employees as required by the terms of the agreement. The Commission emphasised the importance of the consultation process and noted that the employer had failed to provide adequate justification for the changes. As a result, the Commission ordered the employer to reinstate the previous work conditions and compensate the affected employees for the period during which the breach occurred. The employer was also required to provide a formal apology to the employees for the mishandling of the situation.

In summary, the Fair Work Commission ruled that the employer had breached the Georgiou Group Plant Agreement 2024 by imposing changes without proper consultation. The employer was ordered to reinstate the previous work conditions, compensate the affected employees, and provide a formal apology. This decision underscores the importance of adhering to consultation requirements in employment agreements and the potential consequences of failing to do so.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established