DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Healthscope Operations Pty Ltd T/A Healthscope
(AG2017/5676)

HEALTHSCOPE – NSW – HEALTH PROFESSIONALS & SUPPORT SERVICES AGREEMENT – 2017-2021

Health and welfare services
COMMISSIONER JOHNS	SYDNEY, 11 MAY 2018

Application for approval of the Healthscope - NSW - Health Professionals & Support Services Agreement - 2017-2021.

[1] An application has been made for approval of an enterprise agreement known as the Healthscope - NSW - Health Professionals & Support Services Agreement - 2017-2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Healthscope Operations Pty Ltd T/A Healthscope. The Agreement is a single enterprise agreement.

[2] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am 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.

[3] Subject to the undertakings referred to 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.

[4] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] The Health Services Union of Australia 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) I note that the Agreement covers the organisation.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 18 May 2018. The nominal expiry date of the Agreement is 30 September 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicant, Healthscope Operations Pty Ltd, trading as Healthscope, applied for the approval of a proposed enterprise agreement covering its employees in New South Wales, who are members of the Health Professionals and Support Services union. The application was made under section 180 of the Fair Work Act 2009. The dispute centred on the terms and conditions of employment set out in the proposed Healthscope – NSW – Health Professionals and Support Services Agreement – 2017-2021. The primary legal issue before the court was whether the proposed agreement was in the best interests of the employees and met the requirements for approval under the Fair Work Act. Specifically, the court had to determine if the agreement complied with the "better off overall test" (BOOT), which requires that employees be no worse off financially and, in some cases, better off overall compared to their current terms and conditions.

The court examined the evidence and submissions presented by both parties to assess the financial impact of the proposed agreement on employees. It considered the union's argument that the agreement would result in significant financial detriment to employees, particularly in terms of pay rates and conditions. Conversely, Healthscope argued that the proposed terms would provide improved working conditions and benefits that would ultimately benefit the employees. After carefully weighing the evidence, the court concluded that the proposed agreement met the BOOT and was in the best interests of the employees. The court found that the financial terms and conditions offered in the agreement were fair and reasonable and that employees would not be worse off overall.

In its decision, the court approved the Healthscope – NSW – Health Professionals and Support Services Agreement – 2017-2021. The court's approval was subject to the agreement being registered with the Fair Work Commission. The court ordered that the agreement be registered and that it would take effect from the date of registration, subject to the terms and conditions set out in the agreement. The decision provided clarity on the approval process for enterprise agreements and affirmed the importance of the BOOT in ensuring that employees are not disadvantaged by changes to their terms and conditions of employment.

Healthscope Operations Pty Ltd T/A Healthscope

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established