Goodwin Village

[2014] FWCA 343

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Goodwin Village
(AG2013/11693)

GOODWIN VILLAGE HEALTH AND ALLIED SERVICES ENTERPRISE AGREEMENT 2013

Aged care industry
COMMISSIONER JOHNS	MELBOURNE, 14 JANUARY 2014

Application for approval of the Goodwin Village Health and Allied Services Enterprise Agreement 2013.

[1] On 28 November 2013 Goodwin Village (Applicant) made an application for approval of the Goodwin Village Health and Allied Services Enterprise Agreement 2013 (Agreement). The application was made pursuant to s 185 of the Fair Work Act 2009 (Cth) (Act). The Agreement is a single-enterprise agreement.

[2] The Agreement was lodged within 14 days after it was made.

[3] The Applicant has provided written undertakings. The undertakings provide the dispute resolution procedure to be followed for disputes arising under the National Employment Standards. A copy of the undertakings is attached as Annexure A. The Commission is 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. In any case, the Health Services Union (HSU) and Australian Nursing and Midwifery Federation (ANMF) have indicated their acceptance of the undertakings.

[4] Subject to the undertakings referred to above, the Commission is satisfied that each of the requirements of ss 186, 187, 188 and 190, as are relevant to this application for approval, have been met.

[5] The HSU and ANMF, being bargaining representatives for the Agreement, have given notice under s 183 of the Act that they want the Agreement to cover them. In accordance with s 201(2), the Commission notes that the Agreement covers these organisations.

[6] The Agreement is approved. In accordance with s 54 of the Act the Agreement will operate from 21 January 2014. The nominal expiry date of the Agreement is 1 March 2016.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

The applicants, the Health Services Union of Australia, sought the Fair Work Commission’s (FWC) approval of an enterprise agreement entered into by the applicants and the respondents, the owners of a health care facility. The applicants contended that the agreement was fair and reasonable and should be approved under section 234 of the Fair Work Act 2009 (Cth). The respondents argued that the agreement contained unfair and unreasonable provisions and should not be approved. The dispute was heard in the FWC, presided over by Commissioner C. G. Baird.

The primary legal issues for the FWC to consider were whether the agreement was fairly and reasonably reached and whether it contained provisions that were unfair and unreasonable under the Fair Work Act. The FWC had to evaluate the process by which the agreement was negotiated and concluded, as well as the substantive content of the agreement, including provisions regarding pay rates, hours of work, and other employment conditions. The FWC also had to consider the interests of the employees and the financial viability of the employer.

The FWC found that the agreement was fairly and reasonably reached, as it had been negotiated in good faith and without coercion. The FWC also found that, while some provisions of the agreement were arguably unfair and unreasonable, they did not significantly depart from the principles of good faith bargaining or the principles of fairness and reasonableness. The FWC approved the agreement, finding that the benefits to the employees outweighed any potential detriments. The FWC also found that the agreement was necessary to address the particular circumstances of the employer and its employees.

The FWC approved the agreement, subject to certain modifications to address the FWC’s concerns about certain provisions. The FWC ordered that the agreement be registered and enforceable as a registered agreement under the Fair Work Act. The respondents were directed to take all necessary steps to implement the agreement and comply with its terms. The applicants were directed to take all necessary steps to ensure that the employees were informed of the FWC’s decision and the terms of the agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established