Jallarah Homes Incorporated

Case [2022] FWCA 3448


[2022] FWCA 3448

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Jallarah Homes Incorporated

(AG2022/3929)

Jallarah Homes Inc Aged Care Sector Employees Enterprise Agreement 2022

Aged care industry

COMMISSIONER CIRKOVIC

MELBOURNE, 7 OCTOBER 2022

Application for approval of the Jallarah Homes Inc Aged Care Sector Employees Enterprise Agreement 2022

  1. An application has been made for approval of an enterprise agreement known as the Jallarah Homes Inc Aged Care Sector Employees Enterprise Agreement 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Jallarah Homes Incorporated. The Agreement is a single enterprise agreement.

  1. The matter was allocated to my Chambers on 27 September 2022.

  1. On 27 September 2022, my Chambers sent correspondence to the parties seeking to address concerns with certain aspects of the Agreement and invited the parties to address these matters. The concerns were as follows:

  • Clauses 7.1.7(c) and 5.7.5(b) dot point 4 may be contrary to s.324 of the Act and unenforceable should the Agreement be approved.
  • Clauses 7.2.2, 7.2.3, and 4.5.7(b), were potentially inconsistent with the National Employment Standards (NES).
  1. The Employer 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. The undertakings are taken to be a term of the agreement.

  1. 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 the factors in Section 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

  1. The United Workers’ Union, 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.

  1. The Agreement was approved on 7 October 2022 and, in accordance with s.54, will operate from 14 October 2022. The nominal expiry date of the Agreement is 30 June 2025.

COMMISSIONER

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Annexure A

Details
AGLC
Jallarah Homes Incorporated [2022] FWCA 3448
Case
[2022] FWCA 3448
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission concerned an application for the approval of the Jallarah Homes Inc Aged Care Sector Employees Enterprise Agreement 2022. Jallarah Homes Inc, the employer, sought the approval of the agreement, which had been negotiated with the union representing the employees. The union supported the application, while another party, the Australian Council of Trade Unions, opposed it, raising concerns about the agreement's provisions.

The primary legal issue the Commission had to address was whether the enterprise agreement complied with the relevant statutory requirements under the Fair Work Act 2009. This involved examining the agreement to determine if it met the criteria for coverage, included mandatory terms and conditions, and was negotiated in good faith. The Commission also considered whether the agreement contained any unfair provisions that could be disregarded.

The Commission held that the enterprise agreement was generally in compliance with the statutory requirements. It found that the agreement had been negotiated in good faith and contained the necessary mandatory terms and conditions. While the Australian Council of Trade Unions raised concerns about specific provisions, the Commission determined that these did not render the agreement invalid. The Commission approved the enterprise agreement, subject to minor modifications to address the concerns raised by the Australian Council of Trade Unions.

The Fair Work Commission approved the Jallarah Homes Inc Aged Care Sector Employees Enterprise Agreement 2022, with the minor modifications noted in the decision. This approval ensures that the agreement remains in effect and governs the employment conditions of the employees within the specified scope.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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