Jarman Ace Pty Ltd t/as Ace Buses

Jarman Ace Pty Ltd, trading as Ace Buses, applied to the Fair Work Commission for approval of the Ace Buses Enterprise Agreement 2014. The Australian Bus Association and its affiliate, the Transport Officers’ Union of Australia, objected to the application on the basis that the agreement did not meet the Better Off Overall Test. The Union argued that the rates of pay for single engagements did not sufficiently improve the employees' conditions. The matter was heard by the Commission, which had to determine whether the agreement met the Better Off Overall Test and whether there were exceptional circumstances or public interest considerations that would justify approving the agreement despite it not meeting the test.

The Commission examined the terms of the agreement and the submissions from both parties. The primary legal issue was whether the agreement provided a net benefit to the employees, considering all aspects of the employment, not just the financial terms. The Commission noted that the agreement included provisions for improved working conditions, albeit with some reduction in pay. After careful consideration, the Commission concluded that the agreement did meet the Better Off Overall Test due to the comprehensive benefits provided to the employees. However, the Union's objection centred on the rates of pay for single engagements, which did not meet the test on their own.

The Commission decided to approve the agreement, but with certain undertakings to address the Union's concerns. These undertakings included a commitment to review the rates of pay for single engagements within a specified timeframe. The Commission also considered the public interest and exceptional circumstances, finding that approving the agreement would not adversely affect the public interest and that the circumstances were exceptional enough to warrant approval. The Commission ultimately determined that the agreement would also be approved under section 189 of the Fair Work Act, reinforcing the decision to approve the agreement with the specified undertakings.

The Fair Work Commission approved the Ace Buses Enterprise Agreement 2014 with the conditions that Jarman Ace Pty Ltd would review the rates of pay for single engagements within the stipulated period. The Commission's decision acknowledged the comprehensive benefits of the agreement while addressing the Union's specific concerns about pay rates. This balanced approach ensures that the employees' overall conditions are improved while providing a mechanism for future adjustments. The approval reflects a nuanced understanding of both the legal requirements and the practical implications of the agreement.