Lineage Aus Trs Pty Limited T/A Lineage

[2024] FWCA 3549

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Lineage Aus Trs Pty Limited T/A Lineage

(AG2024/3352)

Storage services
DEPUTY PRESIDENT O’KEEFFE	PERTH, 9 OCTOBER 2024

Application for approval of the Lineage AUS TRS Pty Ltd Welshpool Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the Lineage AUS TRS Pty Ltd Welshpool Enterprise Agreement 2024 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Lineage Aus Trs Pty Limited T/A Lineage (the Applicant). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 20 May 2024 and the Agreement was made on 20 August 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

The Applicant expressed the view that the Agreement passes the Better Off Overall Test (BOOT) and provided a summary of why it expressed this view. Consistent with s.193A(3) of the Act I have given consideration to this view when determining whether the Agreement passes the BOOT. The Shop, Distributive and Allied Employees’ Associate (SDAEA) who were a bargaining agent, did not express a view as to whether the Agreement passes the BOOT.

The Applicant has provided written undertakings (see 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.

Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met. The undertakings are taken to be a term of the Agreement.

The SDAEA lodged a Form F18 statutory declaration giving notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) of the Act, I note the Agreement covers the SDAEA.

Pursuant to s205A(2) of the Act, the workplace delegates’ rights term prescribed by the Storage Services and Wholesale Award Clause 29A is taken to be a term of the Agreement.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 16 October 2024. The nominal expiry date of the Agreement is 30 June 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A:

CaseChat Overview and Summary

The case involved an application for the approval of the Lineage AUS TRS Pty Ltd Welshpool Enterprise Agreement 2024, submitted by Lineage Aus Trs Pty Limited T/A Lineage under section 185 of the Fair Work Act 2009. The agreement in question pertains to storage services and was presented for endorsement by the Fair Work Commission. The primary parties involved were Lineage Aus Trs Pty Limited, the applicant, and the Shop, Distributive and Allied Employees’ Association (SDAEA), a bargaining agent. The legal issues that arose in this case pertained to whether the proposed enterprise agreement met the requirements for approval as stipulated by the Fair Work Act, including the Better Off Overall Test (BOOT) and the genuine agreement requirements.

The court had to determine if the proposed enterprise agreement met the legislative criteria for approval, particularly under the new provisions introduced by the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022, which came into effect on 6 June 2023. This required an assessment of whether the agreement was genuinely negotiated and if it would result in employees being better off overall. The Applicant asserted that the Agreement passed the BOOT, and the SDAEA did not express any contrary opinion. The court also needed to consider the written undertakings provided by the Applicant and ensure they did not financially harm the employees or result in substantial changes to the Agreement. Additionally, the court had to verify that the Agreement covered the SDAEA as per their statutory declaration and incorporate the workplace delegates' rights term as mandated by the Storage Services and Wholesale Award.

The Fair Work Commission, through Deputy President O'Keeffe, determined that the Lineage AUS TRS Pty Ltd Welshpool Enterprise Agreement 2024 met all the necessary requirements for approval. The court was satisfied that the written undertakings provided by the Applicant would not cause financial detriment to the employees and would not result in substantial changes to the Agreement. These undertakings were incorporated as a term of the Agreement. The Agreement was approved to operate from 16 October 2024, with a nominal expiry date of 30 June 2027. The workplace delegates’ rights term was also included as a term of the Agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established