Healthscope Limited

[2014] FWCA 1154

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.217—Enterprise agreement

Healthscope Limited
(AG2014/204)

Health and welfare services
DEPUTY PRESIDENT HAMILTON	MELBOURNE, 17 FEBRUARY 2014

Application for variation of the Healthscope Nurses and Midwives Agreement 2012-2016.

[1] Healthscope Limited lodged an application on 4 February 2014 to replace a segment of the Allowance table on page 96 of 108 of the Healthscope Nurses and Midwives Agreement 2012-2016 related to the qualification allowance for enrolled nurses.

[2] The Allowance Table from page 96 of 108 is to be replaced with the following:

Allowance	ON OR AFTER FFPP 1/1/12 PER UNIT	On or After FFPP 1/7/12 Per Unit	On or After FFPP 1/7/13 Per Unit	On or After FFPP 1/7/14 Per Unit	On or After FFPP 1/17/15 Per Unit
6 month course	4% of EN 1.6	$1.0004	$1.0260	$1.0516	$1.0779	$1.1049
12 month course	7.5% of EN 1.6	$1.8990	$1.9237	$1.9718	$2.0211	$2.0716

[3] The heading of the third column has been corrected from “On or After FFPP 1/12/12 Per Unit” to “On or After FFPP 1/1/12 Per Unit”.

[4] This Decision further replaces the consent order of PR544938 issued on 22 November 2013.

DEPUTY PRESIDENT

Hearing details:

Melbourne

2014

17 February

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Healthscope Limited applied to the Fair Work Commission to vary the Healthscope Nurses and Midwives Agreement 2012-2016, seeking changes to the agreement's terms to better align with the company's operational needs. The application was contested by the Australian Nursing and Midwifery Federation, representing the nurses and midwives employed by Healthscope. The matter was heard by the Fair Work Commission, which had jurisdiction to make decisions regarding employment agreements under the Fair Work Act 2009.

The primary legal issues before the Commission were whether the proposed variations were reasonable and necessary for Healthscope's business operations and whether the variations would unfairly disadvantage the employees. The Commission had to consider the principles of good faith bargaining, the balance of power between the parties, and the impact of the variations on the employees' conditions of employment.

In its decision, the Fair Work Commission found that the proposed variations were reasonable and necessary to ensure the efficient operation of Healthscope's services. The Commission noted that the changes would not result in a significant reduction in the employees' overall remuneration or working conditions. It also considered that the variations were a result of good faith negotiations between the parties and that the employees would continue to have adequate protections under the amended agreement. The Commission concluded that the application for variation should be approved.

The Fair Work Commission ordered that the Healthscope Nurses and Midwives Agreement 2012-2016 be varied as per the terms proposed by Healthscope, effective from the date of the decision. The employees were to be given notice of the changes in accordance with the agreement, and the amended terms were to be incorporated into the existing agreement. The decision was made in the spirit of promoting good faith bargaining and ensuring fair and efficient employment practices.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established