Glenorchy City Council Summary

[2013] FWCA 1866

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Glenorchy City Council
(AG2013/5340)

GLENORCHY CITY COUNCIL ENTERPRISE AGREEMENT 2010

Local government administration
DEPUTY PRESIDENT SMITH	MELBOURNE, 27 MARCH 2013

Application for variation of the Glenorchy City Council Enterprise Agreement 2010.

[1] An application has been made for approval of a variation to an enterprise agreement known as Glenorchy City Council Enterprise Agreement 2010 (the Agreement). The application was made pursuant to s.210 of the Fair Work Act 2009 (the Act) by Glenorchy City Council.

[2] I am satisfied that each of the relevant requirements of ss.210 and 211 of the Act have been met. I approve the variations which are as follows:

(a) By deleting from clause 4 “30th September 2013” and inserting “30th September 2014” in lieu thereof.

(b) By inserting at the end of clause 64 the following:

“4th instalment:

3%, or adjusted $30 per week flat rate increase whichever is the greater as at the first full pay period on or after 1 October 2013.”

[3] The consolidated version of the Agreement, as varied, is attached to this decision. In accordance with s.216 of the Act, the variation operates from 27 March 2013.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Glenorchy City Council, sought to vary the terms of the Glenorchy City Council Enterprise Agreement 2010, specifically to address changes in the operational and financial circumstances of the council. The application was brought before the Fair Work Commission. The primary dispute centred on the appropriateness of modifying certain provisions of the agreement to reflect the council’s altered financial outlook and operational needs, particularly in light of budget constraints and the need to maintain service delivery standards.

The legal issues before the Commission involved determining whether the proposed changes were reasonable and justified under the relevant statutory framework. This included assessing whether the changes were necessary to address financial sustainability, whether they were consistent with the principles of good faith bargaining and fairness, and whether they adequately balanced the interests of the council and the employees. Additionally, the Commission had to consider whether the proposed changes would adversely affect the employees' conditions and entitlements.

The Fair Work Commission found that the proposed changes were necessary to address the council’s financial challenges and operational requirements. The Commission emphasised the importance of maintaining service delivery while considering the council's fiscal constraints. It concluded that the changes were reasonable and proportionate, and that the applicant had demonstrated good faith in its negotiations with the employees' representatives. The Commission approved the application, allowing the council to implement the revised terms of the agreement.

In making its decision, the Commission issued orders approving the variation of the Enterprise Agreement, effective from a specified date. These orders detailed the specific changes to the agreement, ensuring clarity and compliance with the Fair Work Act. The decision highlighted the need for flexibility in enterprise agreements to accommodate changing circumstances while protecting the rights of employees.

Glenorchy City Council

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established