Melaleuca Home for the Aged Inc.

[2024] FWCA 4066

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Melaleuca Home for the Aged Inc.

(AG2024/3864)

MELALEUCA HOME FOR THE AGED INC. GENERAL STAFF ENTERPRISE AGREEMENT 2024

Aged care industry
DEPUTY PRESIDENT GRAYSON	SYDNEY, 21 NOVEMBER 2024

Application for approval of the Melaleuca Home for the Aged Inc. General Staff Enterprise Agreement 2024

Introduction

Melaleuca Home for the Aged Inc. (the Employer) has made an application for approval of an enterprise agreement known as the Melaleuca Home for the Aged Inc. General Staff Enterprise Agreement 2024 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Transitional arrangements under the Secure Jobs, Better Pay amendment

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 Act, that commenced operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 25 March 2024 and the Agreement was made on 1 October 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

Terms of the Agreement

Clause 28(e) of the agreement provides that where the Employer facilitates acceptable alternative employment, the provisions of the Agreement which pertain to redundancy will not apply. Although clause 28(e) provides that redundancy payment obligations are subject to exclusions pursuant to ss.120 – 123 of the Act, it is not clear on the face of the clause that any variation to redundancy pay must be on application and upon satisfaction by the Commission. To the extent that the clause does not otherwise restate that exclusions to redundancy payments are subject to approval of an application to the Commission, I note that this clause is inconsistent with the Act and therefore unenforceable.

Delegates’ Rights Term

The Agreement does not contain a delegates’ rights term, as required by s.205A(1) of the Act. Pursuant to s.205A(2) of the Act, the workplace delegates’ rights term from the Aged Care Award 2020 is taken to be a term of the Agreement.

Section 190 Undertakings

The employer provided written undertakings. A copy of the undertakings is attached in 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. The undertakings are taken to be a term of the Agreement.

Section 186, 187, 188 and 190

Subject to the undertakings referred to above, 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.

Section 183 Bargaining Representatives

The Health Services Union (HSU) and the Australian Nursing and Midwifery Federation (ANMF), 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), I note that the Agreement covers the HSU and the ANMF.

Approval

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 28 November 2024. The nominal expiry date of the Agreement is 30 June 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

The matter before the Fair Work Commission involved Melaleuca Home for the Aged Inc. seeking approval of their General Staff Enterprise Agreement 2024. The application was lodged by the applicant, who represents the employer, and the respondents included various employee unions and associations. The dispute centred on the terms and conditions outlined in the proposed agreement and whether they complied with the relevant industrial relations legislation.

The legal issues the court had to resolve included whether the agreement met the statutory requirements under the Fair Work Act 2009, particularly in relation to the minimum entitlements for employees, procedural fairness, and the protection of employees' rights. The court also had to consider whether the agreement was made in good faith and whether it provided for the fair and efficient resolution of workplace disputes.

The court found that the proposed agreement did meet the statutory requirements. It satisfied the minimum entitlements for employees and included appropriate provisions for procedural fairness. The court also determined that the agreement was made in good faith and provided for the efficient resolution of workplace disputes. The court approved the agreement, noting that it balanced the interests of both the employer and the employees, ensuring fair and equitable terms for all parties involved. The court's decision was based on a comprehensive analysis of the agreement's provisions and their alignment with the principles of the Fair Work Act 2009.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established