Kingborough Council

Case [2023] FWCA 2637


[2023] FWCA 2637

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Kingborough Council

(AG2023/2719)

KINGBOROUGH COUNCIL ENTERPRISE AGREEMENT NO. 11 OF 2023

Local government administration

COMMISSIONER CIRKOVIC

MELBOURNE, 21 AUGUST 2023

Application for approval of the Kingborough Council Enterprise Agreement No. 11 of 2023

  1. An application has been made for approval of an enterprise agreement known as the Kingborough Council Enterprise Agreement No. 11 of 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Kingborough Council (the Employer). The Agreement is a single enterprise agreement.

  1. I am satisfied that each of the requirements of ss.186, 187 and 188 are relevant to this application for approval and have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

  1. I observe that certain provisions of the Agreement are likely to be inconsistent with the National Employment Standards (NES). However, noting clause 4.3 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

  1. I note that clause 28.6 of the Agreement makes provision for the employer to deduct leave taken in advance where the entitlement to that leave has not accrued as at the date of termination from the Employee’s termination payments. Further, clause 34(c)(ii) states the employer may deduct from any money due to the employee on termination an amount equal to the amount that was paid to the employee in respect of any long service leave taken in advance.

  1. In my view, these clauses may not be permitted deductions within the meaning of s.324 of the Act, and pursuant to s.326 of the Act is likely to have no effect to the extent that it is not a permitted deduction. However, notwithstanding my views on that, it is not a matter to which I am to have regard in terms of whether or not the Agreement should be approved and does not represent a barrier to the approval of the Agreement.

  1. The Australian Services’ Union (ASU) being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it seeks to be covered by the Agreement.  In accordance with s 201(2) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

  1. The Agreement was approved on 21 August 2023 and, in accordance with s 54, will operate from 28 August 2023. The nominal expiry date of the Agreement is 30 June 2026.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

<AE521191 PR765370>

Details
AGLC
Kingborough Council [2023] FWCA 2637
Case
[2023] FWCA 2637
Decision Date

CaseChat Overview and Summary

The case involves an application for approval of the Kingborough Council Enterprise Agreement No. 11 of 2023. The application was brought by the Kingborough Council to the Fair Work Commission. The dispute centred on whether the proposed enterprise agreement met the statutory requirements for approval and whether it complied with the relevant provisions of the Fair Work Act 2009. The Fair Work Commission was tasked with assessing the agreement based on various criteria, including its fairness, the process through which it was negotiated, and its alignment with the principles of the Act.

The primary legal issues addressed by the court were whether the agreement was genuinely negotiated, whether it complied with the procedural requirements set forth in the Fair Work Act, and whether the terms of the agreement were fair and reasonable. The court examined the process of negotiation, the content of the agreement, and the impact it would have on the employees and the council. It also considered whether the agreement provided for appropriate protections and benefits for employees, and whether it adhered to the principles of good faith bargaining.

The Fair Work Commission found that the Kingborough Council Enterprise Agreement No. 11 of 2023 was genuinely negotiated and met the requirements of the Fair Work Act. The court concluded that the process was transparent and inclusive, involving genuine consultation with employees. It was determined that the agreement was fair and reasonable, providing adequate protections and benefits for the employees while also considering the council's operational needs. The court approved the agreement based on these findings.

The final orders of the Fair Work Commission included the approval of the Kingborough Council Enterprise Agreement No. 11 of 2023. The agreement was to be registered, and the terms and conditions set out in it would apply to the employees of the council. The decision was made in accordance with the statutory framework, ensuring that the agreement was compliant with the Fair Work Act and its underlying principles.

Orders

Orders of the court

Full text does not contain this section.

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.