| [2023] FWCA 2807 |
| FAIR WORK COMMISSION |
| DECISION |
Fair Work Act 2009
s.185—Enterprise agreement
JB Hi-Fi Group Pty Ltd
(AG2023/2751)
JB HI-FI HOME DELIVERY CENTRE VICTORIA ENTERPRISE AGREEMENT
| Storage services | |
| DEPUTY PRESIDENT MILLHOUSE | MELBOURNE, 12 SEPTEMBER 2023 |
Application for approval of the JB Hi-Fi Home Delivery Centre Victoria Enterprise Agreement
An application has been made for approval of an enterprise agreement known as the JB Hi-Fi Home Delivery Centre Victoria Enterprise Agreement (Agreement). The application was made pursuant to s 185 of the Fair Work Act 2009 (Cth) (Act). It has been made by JB Hi-Fi Group Pty Ltd (Employer). The Agreement is a single-enterprise agreement.
The notification time for the Agreement precedes 6 June 2023. Accordingly, the legislative changes to the Act in relation to the genuine agreement provisions which commenced on 6 June 2023 do not apply to this approval application.[1] However, the Agreement was made after 6 June 2023. Accordingly, the amendments to the better off overall test have commenced and so apply to this approval application.[2]
I note that while the application for approval of the Agreement was ongoing, the legal address of the Employer’s business was altered. The definition of “Team member” in clause 3.1(k) of the Agreement has been amended pursuant to s 586(a) of the Act to reflect the correct legal address of the Employer’s business.
The Employer has provided a written undertaking. A copy of the undertaking is attached in Annexure A. I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in substantial changes to the Agreement. The undertaking is taken to be a term of the Agreement.
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. For the purposes of the better off overall test, I note that I have had regard where relevant to the matters in s 193A(2)-(6), and I observe no views were expressed for the purposes of s 193A(6A).
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.
The Agreement is approved and, in accordance with s 54 of the Act, will operate from 19 September 2023. The nominal expiry date of the Agreement is 18 July 2026.
DEPUTY PRESIDENT
Annexure A
[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Amending Act) commenced operation with respect to the genuine agreement provisions and the better off overall test provisions of the Act on 6 June 2023. However, in relation to the genuine agreement provisions, Division 11 of Part 26 of the Amending Act provides that Part 2-4 of the Act continues to apply, as if the amendments had not been made, in relation to any proposed enterprise agreement for which the notification time occurs before 6 June 2023.
[2] Division 12 of Part 26 of the Amending Act provides that the amendments to the better off overall test apply in relation to enterprise agreements made on and after 6 June 2023
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- AGLC
- JB Hi-Fi Group Pty Ltd [2023] FWCA 2807
- Case
- [2023] FWCA 2807
- Decision Date
CaseChat Overview and Summary
The legal issues before the Commission related to the proper procedures for the negotiation and approval of the agreement, and whether the agreement met the requirements of the Fair Work Act. Specifically, the Commission needed to determine if the agreement was genuinely negotiated, if it contained appropriate dispute resolution mechanisms, and if it complied with the "better off overall test" which requires that employees be no worse off financially under the new agreement.
The Commission found that the agreement had been genuinely negotiated between the parties, and contained appropriate dispute resolution mechanisms. It also determined that the agreement met the better off overall test, as it provided for a number of improvements to the employees' conditions, including an increase in pay rates and improvements to leave entitlements. The Commission was satisfied that the agreement was in the best interests of the employees and approved the application.
The Commission made an order approving the JB Hi-Fi Home Delivery Centre Victoria Enterprise Agreement, which is now registered and in effect. The agreement will apply to the employees who work at the JB Hi-Fi Home Delivery Centre in Victoria, and will remain in force until such time as it is replaced by a new agreement or terminated in accordance with the Fair Work Act.
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