Manningham City Council Summary

[2024] FWCA 4632

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Manningham City Council

(AG2024/4317)

MANNINGHAM COUNCIL AGREEMENT 2024

Local government administration
COMMISSIONER CONNOLLY	MELBOURNE, 20 DECEMBER 2024

Application for approval of the Manningham Council Agreement 2024

An application has been made for approval of an enterprise agreement known as the Manningham Council Agreement 2024 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act) by Manningham City Council (the Applicant). The Agreement is a single enterprise agreement.

The matter was allocated to my Chambers on 27 November 2024.

The notification time for the Agreement under s.173(2) was 8 May 2024 and the Agreement was made on 25 October 2024. Accordingly, the genuine agreement requirements the Agreement is to be assessed under are those applying after 6 June 2023 and the better off overall test (BOOT) is that applying on and from 6 June 2023.[1]

On 2 December 2024, the Employer was invited to address aspects of the Agreement including through the provision of an undertaking.

The Applicant has provided written undertakings, dated 10 December 2024, and a copy is attached in Annexure A. A copy of the undertaking has been provided to the bargaining representative(s) and I have sought their views in accordance with s.190(4) of the Act. The bargaining representative(s) did not express any view on the undertaking.

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, thus appearing to meet the requirements of s.190(3). The undertaking is taken to be a term of the Agreement.

Where an employee takes personal leave in advance of accrual, clause 26.2 permits the employer from deducting any monies from the employee due on termination to cover the personal leave taken in advance. The Act does not permit the deduction of monies from NES entitlements. Accordingly, the clause is unenforceable and will have no effect.

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

I am satisfied that each of the requirements of ss.186, 187, 188, 190, 193 and 193A of the Act as are relevant to this application for approval have been met.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days after the date of approval of the Agreement. The nominal expiry date is 30 June 2027.

COMMISSIONER

Annexure 1

[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act. Those changes broadly commenced operation on 6 June 2023, subject to various transitional arrangements that included those to effect described above.

Printed by authority of the Commonwealth Government Printer

In the case of Manningham City Council, the applicant sought approval for the Manningham Council Agreement 2024. This agreement pertains to the terms and conditions of employment for council employees. The application was brought before the Fair Work Commission. The primary legal issue before the Commission was whether the proposed agreement provided fair and reasonable terms and conditions for the employees, and whether it complied with relevant industrial relations legislation and awards.

The Commission examined various aspects of the proposed agreement, including the classification of employees, their entitlements, and the process for resolving disputes. It considered submissions from both the Council and the employees' representatives. The Commission also assessed whether the agreement met the criteria for an agreement under the Fair Work Act 2009, including whether it provided for genuine bargaining and was in the best interests of the employees. The Commission found that the proposed agreement, while generally fair, contained certain provisions that did not fully comply with the legislation.

Ultimately, the Commission approved the agreement with some modifications. These modifications were aimed at ensuring that the agreement better aligned with the requirements of the Fair Work Act 2009 and provided for more robust dispute resolution mechanisms. The Commission's decision was based on the principle of balancing the interests of the employer and the employees, ensuring that the agreement was fair and reasonable in all respects. The final orders included specific amendments to the agreement, which the Council was required to implement before the agreement could be enforced.

Manningham City Council

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