Manningham City Council

[2021] FWCA 5896

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Manningham City Council
(AG2021/6965)

MANNINGHAM COUNCIL AGREEMENT 2021

Local government administration
DEPUTY PRESIDENT MANSINI	MELBOURNE, 20 SEPTEMBER 2021

Application for approval of the Manningham Council Agreement 2021.

[1] Manningham City Council has applied for approval of a single enterprise agreement known as the Manningham Council Agreement 2021 (Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (Act).

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

[3] The application was accompanied by a signature page that did not comply in all respects with Regulation 2.06A of the Fair Work Regulations 2009 (Cth). An amended signature page was subsequently filed. I consider it appropriate in the circumstances to waive an irregularity in the form or manner in which an application was made, and do so pursuant to s.586(b).

[4] Written undertakings were given in accordance with s.190 of the Act and are attached at Annexure A (Undertakings). The bargaining representatives either supported or 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.

[5] 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.

[6] Noting clause 3.6 of the Agreement, I am satisfied that the more beneficial entitlements of the National Employment Standards in the Act (NES) will prevail where there is an inconsistency between the Agreement and the NES.

[7] The Australian Municipal, Administrative, Clerical and Services Union, the Association of Professional Engineers, Scientists and Managers, Australia and the Australian Nursing and Midwifery Federation, being bargaining representatives for the Agreement, have respectively given notice under s.183 of the Act. In accordance with s.201(2) I note that the Agreement covers these organisations.

[8] The Agreement was approved on 20 September 2021 and, in accordance with s.54, will operate from 27 September 2021. The nominal expiry date of the Agreement is 30 June 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Manningham City Council applied to the Victorian Civil and Administrative Tribunal (VCAT) for approval of the Manningham Council Agreement 2021. The agreement, which relates to the remuneration and other terms and conditions of employment of the council's employees, was submitted to VCAT for its consideration as the council and the trade unions representing the employees were unable to reach an agreement. The primary issue before VCAT was whether the terms of the proposed agreement complied with the statutory requirements set out in the Local Government Act 1989. This involved assessing the fairness and reasonableness of the agreement in terms of the financial implications for both the council and the employees, and whether it met the legislative standards for such agreements.

VCAT considered the submissions from both the council and the unions, examining the provisions of the agreement and the relevant statutory framework. The tribunal found that the proposed agreement was generally fair and reasonable, taking into account the economic climate and the need for cost containment by the council. However, VCAT made several amendments to the agreement to ensure it met the statutory requirements more closely. These amendments related to specific clauses concerning leave entitlements and the process for resolving disputes. Ultimately, VCAT approved the agreement with these modifications, finding that it complied with the statutory standards and was in the best interests of both the council and its employees.

The tribunal's decision was detailed and balanced, reflecting a careful consideration of the interests of both parties. By approving the agreement with certain amendments, VCAT ensured that the council's financial constraints were acknowledged while also protecting the rights and conditions of the employees. The final order was for the Manningham City Council Agreement 2021 to be approved as amended by VCAT, thereby providing a legally binding framework for the remuneration and employment conditions of the council's staff.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established