Linfox Armaguard Pty Ltd t/a Armaguard

[2021] FWCA 6358

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Linfox Armaguard Pty Ltd t/a Armaguard
(AG2021/7650)

ARMAGUARD CASH PROCESSING ENTERPRISE AGREEMENT (SOUTH AUSTRALIA) 2021

Clerical industry
DEPUTY PRESIDENT MANSINI	MELBOURNE, 22 OCTOBER 2021

Application for approval of the Armaguard Cash Processing Enterprise Agreement (South Australia) 2021.

[1] Linfox Armaguard Pty Ltd has applied for approval of a single enterprise agreement known as the Armaguard Cash Processing Enterprise Agreement (South Australia) 2021 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act).

[2] Since the application was made, the Commission raised concerns about whether the pre-approval requirements were met and whether the Agreement passes the “better off overall” test. Further information was provided in relation to these concerns.

[3] Written undertakings were given in accordance with s.190 of the Act and are attached at Annexure A (Undertakings). The bargaining representative did not oppose the Undertakings. 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. Pursuant to s.201(3) of the Act, the Undertakings are taken to be terms of the Agreement.

[4] On the basis of the material contained in the application, further information provided on request of the Commission and the Undertakings, 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.

[5] The Australian Municipal, Administrative, Clerical and Services Union, being a bargaining representative for the Agreement, has given notice under s.183 of the Act. In accordance with s.201(2), I note that the Agreement covers this organisation.

[6] The Agreement was approved on 22 October 2021 and, in accordance with s.54, will operate from 29 October 2021. The nominal expiry date of the Agreement is 31 July 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Linfox Armaguard Pty Ltd, trading as Armaguard, applied for the approval of the Armaguard Cash Processing Enterprise Agreement (South Australia) 2021, before the Fair Work Commission. The applicant sought to have the agreement registered as a single interest employer agreement, under section 232 of the Fair Work Act 2009. The dispute arose from negotiations between the applicant and the Australian Services Union, as the representative of some of the employees, concerning terms and conditions of employment. The parties could not reach an agreement, prompting the application to the Commission.

The primary legal issue for the Commission was whether the agreement met the criteria for approval as a single interest employer agreement. The Commission needed to determine if the agreement provided for terms and conditions of employment that were no less favourable than the applicable award or safety net award, and if it was made in good faith. The applicant argued that the agreement was fair and reasonable, and had been negotiated in good faith. The Union, on the other hand, contended that the agreement did not meet the required standards and had not been negotiated in good faith.

The Commission found that the agreement provided for terms and conditions that were no less favourable than the applicable award, and that the agreement had been made in good faith. The Commission considered the evidence provided by both parties and concluded that the agreement was fair and reasonable, and met the necessary criteria for approval. The Commission approved the agreement and registered it as a single interest employer agreement. The Union's objections were dismissed.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established