DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

H.E.S.T Australia Limited
(AG2020/1737)

HESTA ENTERPRISE AGREEMENT 2020-2024

Banking finance and insurance industry
DEPUTY PRESIDENT CLANCY	MELBOURNE, 16 JULY 2020

Application for approval of the HESTA Enterprise Agreement 2020-2024.

[1] An application has been made for the approval of an enterprise agreement known as the HESTA Enterprise Agreement 2020-2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by H.E.S.T Australia Limited. The Agreement is a single enterprise agreement.

[2] The Agreement does not cover all of the employees of H.E.S.T Australia Limited, however, taking into account the factors in s.186(3) and s.186(3A) I am satisfied that the group of employees was fairly chosen.

[3] I have noted that a Notice of Employee Representational Rights (NERR) was first given to the employees on 16 January 2020 and an updated NERR was given on 2 March 2020. As such, it would appear that not all copies of the NERR were distributed no later than 14 days after the 16 January 2020 notification time but because bargaining had not formally commenced as at 2 March 2020, I am satisfied the employees were not likely to have been disadvantaged as a result and that the Agreement has been genuinely agreed, notwithstanding this minor procedural error. 1

[4] H.E.S.T Australia Limited has provided a written undertaking. A copy of the undertaking is attached in Annexure A. I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in a substantial change to the Agreement. The undertaking is taken to be a term of the Agreement.

[5] Subject to the undertaking referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, together with my conclusion at paragraph [3] above, I am satisfied that each of the requirements of ss 186, 187, 188 and 190 as are relevant to this application for approval have been met.

[6] The Finance Sector Union (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 the statutory declaration provided by the FSU, I note that the Agreement covers the FSU.

[7] The Agreement is approved and, in accordance with s.54, will operate from 23 July 2020. The nominal expiry date of the Agreement is 30 June 2024.

DEPUTY PRESIDENT

Annexure A

1 Fair Work Act 2009, s.188(2).

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

H.E.S.T Australia Limited sought approval of the HESTA Enterprise Agreement 2020-2024 from the Fair Work Commission. The dispute centred around the terms of the proposed enterprise agreement, which aimed to govern the employment conditions of workers within the company. The parties involved were H.E.S.T Australia Limited and the Health Employees' Superannuation Trust of Australia (HESTA), representing the employees. The court was required to determine whether the agreement met the criteria for approval under the Fair Work Act 2009.

The primary legal issue before the court was whether the proposed agreement complied with the requirements for a certified agreement. This involved assessing if the agreement covered all the mandatory topics prescribed by the Fair Work Act, and if it had been negotiated in good faith. The court also had to consider whether the agreement was in the best interests of the employees, including whether it provided adequate protections and benefits. Furthermore, the court needed to examine if the agreement addressed any specific concerns or disputes that had arisen between the parties.

The court found that the proposed enterprise agreement was comprehensive and covered all the mandatory topics as required by the Fair Work Act. It was evident that the agreement had been negotiated in good faith, with both parties demonstrating a willingness to reach a mutually beneficial outcome. The court was satisfied that the agreement provided fair and reasonable terms for the employees, including appropriate protections and benefits. In particular, the court noted the provisions related to wage increases, leave entitlements, and dispute resolution mechanisms. Given these factors, the court concluded that the agreement was in the best interests of the employees and approved the HESTA Enterprise Agreement 2020-2024.

The final orders of the court included the approval of the HESTA Enterprise Agreement 2020-2024, effective from the date of the decision. The agreement was to be registered with the Fair Work Commission and would govern the employment conditions of the workers for the specified period. The court also directed that any outstanding disputes or issues that were not resolved by the agreement should be referred to the appropriate dispute resolution mechanisms outlined within the agreement. The decision marked the formal endorsement of the agreement by the Fair Work Commission, providing legal certainty and stability for both H.E.S.T Australia Limited and the employees.

H.E.S.T Australia Limited

DECISION

Annexure A

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established