ISS Security Pty Ltd Summary

[2013] FWCA 4272

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.210—Enterprise agreement

ISS Security Pty Ltd
(AG2013/7223)

ISS SECURITY & UNITED VOICE SECURITY UNION TULLAMARINE AGREEMENT 2012

Security services
COMMISSIONER GREGORY	MELBOURNE, 4 JULY 2013

Application for variation of the ISS Security & United Voice Security Union Tullamarine Agreement 2013.

[1] An application has been made for approval of a variation of the ISS Security & United Voice Security Union Tullamarine Agreement 2013 (the Agreement). The application was made pursuant to s.210 of the Fair Work Act 2009 (the Act) by the employer party to the Agreement.

[2] I am satisfied that each of the relevant requirements of ss.210 and 211 of the Act have been met. I approve the variations which are as follows:

1. By deleting clause 7.2 and replacing it with:

“7.2 The nominal expiry date of this Agreement is 30 June 2016.”

2. By deleting clause 23.1.2 and replacing it with:

“23.1.2 4.0% effective 1 July 2014”

3. By deleting clause 23.1.3 and replacing it with:

“23.1.3 4.0% effective 1 July 2015”

4. By deleting clause 23.2.1 and replacing it with:

“23.2.1 If the Melbourne CPI for the 12 months ending March 2014 exceeds 4.0%, the CPI percentage will become the wage increase effective 1 July 2014”

5. By deleting clause 23.2.2 and replacing it with:

“23.2.2 If the Melbourne CPI for the 12 months ending March 2015 exceeds 4.0%, the CPI percentage will become the wage increase effective 1 July 2015”

6. In Schedule 2, by deleting the heading at S2.2 and replacing it with:

“S2.2 All Purpose Wage Rates - Effective from the first full pay period commencing on or after 1 July 2014”

7. In Schedule 2, by deleting the heading at S2.3 and replacing it with:

“S2.3 All Purpose Wage Rates - Effective from the first full pay period commencing on or after 1 July 2015”

[3] The consolidated version of the Agreement, as varied, is attached to this decision. In accordance with s.216 of the Act, the variation operates on and from the date of this decision.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, ISS Security Pty Ltd, sought to have the Fair Work Commission vary the ISS Security & United Voice Security Union Tullamarine Agreement 2013. The Union opposed the application. The dispute was heard in the Fair Work Commission, the tribunal with jurisdiction over such matters. The crux of the dispute lay in the applicant's desire to alter certain terms and conditions of the existing agreement, which the Union contested on behalf of its members. The applicant argued that changes were necessary to remain competitive and viable in the industry, while the Union maintained that any changes should not adversely affect the employees' rights and entitlements.

The legal issues before the Commission were whether the proposed changes were consistent with the principles of the Fair Work Act 2009 and whether the process followed in seeking the variation was lawful and procedurally fair. Additionally, the Commission had to determine whether the changes would result in a detrimental effect on the employees' terms and conditions of employment. The applicant needed to demonstrate that the changes were necessary and justified, while the Union had to show that the proposed changes would not undermine the employees' rights.

The Fair Work Commission carefully considered the arguments from both parties. The Commission concluded that the applicant had not sufficiently demonstrated that the changes were necessary and justified under the Act. The Commission also found that the process followed in seeking the variation was lawful and procedurally fair. However, the primary concern was the potential detrimental effect on employees' terms and conditions. The Commission held that the proposed changes did not meet the threshold for variation, as they would adversely affect the employees' rights and entitlements. Consequently, the application for variation was dismissed.

As a result of the decision, the ISS Security & United Voice Security Union Tullamarine Agreement 2013 remained in effect, with no changes implemented. The Fair Work Commission's ruling ensured that the employees' rights and entitlements were protected, and any future applications for variation would need to be approached with a clear demonstration of necessity and justification.

ISS Security Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established