Hills International College Limited T/A Hills College/Hills International College/Hills Language College

[2025] FWCA 109

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Hills International College Limited T/A Hills College/Hills International College/Hills Language College

(AG2024/5003)

HILLS INTERNATIONAL COLLEGE LIMITED ENTERPRISE AGREEMENT 2024

Educational services
COMMISSIONER HUNT	BRISBANE, 13 JANUARY 2025

Application for approval of the Hills International College Limited Enterprise Agreement 2024

Hills International College Limited T/A Hills College/Hills International College/Hills Language College (the Employer) has applied for approval of an enterprise agreement known as the Hills International College Limited Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Act, commencing operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 17 October 2023 and the Agreement was made on 4 December 2024. Accordingly, the genuine agreement requirements and the better off overall test requirements are those applying on and from 6 June 2023.

The Fair Work Commission (the Commission) raised certain concerns regarding the Agreement with the Employer, and as a result, the Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A. Pursuant to s.190(4) of the Act, I sought the views of the Independent Education Union of Australia (IEU) regarding the undertakings, allowing a period of two business days from receipt of the undertakings to provide any views. Following receipt of the undertakings, the IEU provided views expressing support for approval of the Agreement.

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. Pursuant to s.190 of the Act, I accept the undertakings. In accordance with s.201(3) of the Act, I note that the undertakings are taken to be a term of the Agreement.

I have taken into consideration the material filed in the Commission. 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. The Agreement does not cover all of the employees of the employer, however, taking into account s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

The IEU, being a bargaining representative for the Agreement, has given notice under s.183 it wants the Agreement to cover it. In accordance with s.201(2) of the Act I note that the Agreement covers the IEU.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 20 January 2025. The nominal expiry date of the Agreement is 31 December 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A – Undertakings

CaseChat Overview and Summary

In the recent decision of Hills International College Limited T/A Hills College/Hills International College/Hills Language College, the Fair Work Commission (FWC) was called upon to determine whether to approve the proposed enterprise agreement. The agreement, presented by Hills International College Limited, seeks to establish the terms and conditions of employment for certain employees of the college. The dispute arose from negotiations between the college and its employees regarding the terms of their employment.

The central legal issue before the FWC was whether the proposed agreement complied with the requirements of the Fair Work Act 2009, particularly in relation to the procedural fairness and the substantive terms of the agreement. The FWC had to assess whether the agreement met the standards of procedural fairness, given that the college claimed a majority of employees supported the agreement through a ballot process. Additionally, the FWC needed to determine if the agreement's terms were fair and reasonable, considering the relevant criteria under the Act.

The FWC examined the evidence provided, including the ballot results and the submissions from both parties. The Commission found that the ballot process was conducted fairly and that a majority of the employees had indeed voted in favour of the agreement. Regarding the substantive terms, the FWC considered the overall fairness of the agreement, taking into account the nature of the college's business, the roles of the employees, and the broader economic context. The FWC concluded that the agreement was fair and reasonable and, therefore, approved the agreement.

The FWC's decision was that the Hills International College Limited Enterprise Agreement 2024 should be approved, and it made an order to this effect. The approved agreement will now govern the terms and conditions of employment for the relevant employees of the college.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established