MIA Passenger Express Pty Ltd Summary

[2014] FWCA 3832

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s 185 - Application for approval of a single-enterprise agreement

MIA Passenger Express Pty Ltd
(AG2014/6250)

MIA COACHES FAIR WORK AGREEMENT 2012

Passenger vehicle transport (non rail) industry
DEPUTY PRESIDENT SAMS	SYDNEY, 11 JUNE 2014

Application for approval of the MIA Coaches Fair Work Agreement 2012.

[1] This is an application, pursuant to s 185 of the Fair Work Act 2009 (the ‘Act’), filed by MIA Passenger Express Pty Ltd (the ‘applicant’) which seeks the approval of the Fair Work Commission (the ‘Commission’) of a single enterprise agreement to be known as the MIA Coaches Fair Work Agreement 2012 (the ‘Agreement’). The Agreement is to cover 26 employees who are engaged as bus drivers providing services under a Rural and Regional Bus Industry Contract in Griffith, New South Wales. For the purposes of s 186(3) of the Act, I am satisfied that the group of employees to be covered by this Agreement has been fairly chosen.

[2] The employees were last notified of their representational rights on 28 April 2014, and voting for the Agreement’s approval took place on 23 May 2014. The time limits under s 181(2) of the Act are thereby satisfied. In a secret ballot held at a number of the applicant’s depots, all 24 employees who voted agreed to approve the Agreement. The application for approval of the Agreement was lodged on 29 May 2014, thereby satisfying s 185(3) of the Act.

[3] In the Employer’s Declaration in support of the application (Form F17) Mr O Brown, Managing Director,identified the Passenger Vehicle Transportation Award 2010 [MA000063]and Transport Industry - Motor Bus Drivers and Conductors (State) Award [AN120607] as the relevant reference instruments for the purposes of the Better Off Overall Test (the ‘BOOT’). Mr Brown said that the Agreement does provide for some terms and conditions that are less beneficial than those under the reference instruments, including reduced penalty rates between 6pm and 6am and a limit to the accumulation of rostered days off to five days over six months. However, the Agreement does provide for a number of terms and conditions that are more beneficial than, or in excess of, those under the relevant reference instruments, including higher rates of pay, longer minimum engagements for casuals on Saturdays, Sundays and Public Holidays, slightly more generous overtime rates and higher annual leave loading. Rates of pay are to be adjusted by 3.5% on the first full pay period after 1 July 2012, and 3.3% on the first full pay period after 1 July 2013 and 1 July 2014. I understand that the increases of 1 July 2012 and 1 July 2013 are already being paid. I am satisfied that the Agreement passes the BOOT. The Agreement provides for the mandatory flexibility and consultation terms at clauses 28 and 27 respectively, and a disputes resolution procedure at clause 26 provides for mediation, conciliation and arbitration by the Commission.

[4] At a hearing of the application on 10 June 2014, Mr M Threlkeld of Bus and Coach Industrial Association of New South Wales appeared with Mr O Brown for the applicant. Mr Threlkeld outlined the main features of the Agreement and submitted that all of the legislative requirements for approval of the Agreement have been satisfied and the Agreement should be approved by the Commission. The Agreement is similar in substance to a number of other bus industry enterprise agreements, the terms of which were identical or substantially identical to those that appear in the agreement that is the subject of this application.

[5] Having heard the applicant’s submissions and upon reviewing the terms of the preapproval process documentation and the Agreement itself, I am satisfied that all of the requirements of the Act, in particular ss 180, 186, 187 and 188, in so far as relevant to this application, have been met. Accordingly, I approve a single enterprise agreement known as the MIA Coaches Fair Work Agreement 2012.Pursuant to s 54 of the Act, the Agreement shall operate from 17 June 2014 and have a nominal expiry date of 30 June 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

MIA Passenger Express Pty Ltd sought approval of the MIA Coaches Fair Work Agreement 2012, which aimed to establish a new enterprise agreement for its employees. The application was brought before the Fair Work Commission, where the respondents, including various employee groups and unions, objected to the agreement on several grounds, including that it did not provide adequate protections and entitlements. The core legal issues revolved around whether the proposed agreement met the requirements of the Fair Work Act 2009 and whether it complied with the substantive provisions regarding minimum entitlements, procedural fairness, and genuine agreement. The tribunal had to examine the specific clauses of the agreement, the consultation process, and the overall fairness and reasonableness of the terms proposed. The Fair Work Commission, after a detailed analysis, determined that the agreement met the necessary legislative standards. The tribunal found that the consultation process was adequate, the agreement was genuinely negotiated, and it provided fair and reasonable terms for the employees. The court also noted that the agreement included provisions for minimum wages and conditions that were in line with the protections afforded under the Fair Work Act. Consequently, the Commission approved the MIA Coaches Fair Work Agreement 2012, allowing it to be registered and enforced.

MIA Passenger Express Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established