DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Mitchell House Inc.
(AG2019/3209)

MITCHELL HOUSE INC., ANMF AND HSU ENTERPRISE AGREEMENT 2018

Aged care industry
COMMISSIONER WILSON	MELBOURNE, 27 NOVEMBER 2019

Application for approval of the Mitchell House Inc., ANMF and HSU Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Mitchell House Inc., ANMF and HSU Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Mitchell House Inc. The Agreement is a single enterprise agreement.

[2] The Employer has 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.

[3] 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.

[4] The Australian Nursing and Midwifery Federation and the Health Services Union of Australia 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 organisations.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 4 December 2019. The nominal expiry date of the Agreement is 31 May 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involved Mitchell House Inc., an Australian not-for-profit organisation providing aged care services, along with the Australian Nursing and Midwifery Federation (ANMF) and the Health Services Union (HSU). The dispute centred on the approval of the Mitchell House Inc., ANMF and HSU Enterprise Agreement 2018, which was intended to govern the terms and conditions of employment for the union members working at Mitchell House. The matter was heard in the Fair Work Commission (FWC), Australia’s independent statutory body with jurisdiction over employment matters.

The primary legal issues before the Commission were whether the proposed enterprise agreement met the procedural and substantive requirements for approval under the Fair Work Act 2009 (Cth). Procedurally, the Commission had to ascertain whether the agreement had been negotiated in good faith, involved genuine bargaining, and if the necessary majority vote was obtained. Substantively, the agreement had to comply with the ‘better off overall test’ (BOOT) and not contain any terms that were contrary to public policy or in breach of the National Employment Standards (NES).

The Commission found that the agreement had been negotiated in good faith and the requisite majority vote had been achieved. The Commission also determined that the agreement satisfied the BOOT, as it provided employees with a total package of terms and conditions that were at least as favourable as those provided under the relevant award. The Commission further held that the agreement did not contain any terms contrary to public policy or in breach of the NES. Consequently, the Commission approved the enterprise agreement, finding it to be compliant with the statutory requirements.

As a result of the Commission’s decision, the Mitchell House Inc., ANMF and HSU Enterprise Agreement 2018 was approved and came into effect, governing the employment terms and conditions for the union members at Mitchell House. The decision reinforced the importance of adhering to the legal framework governing enterprise agreements in Australia, ensuring that both employers and employees are treated fairly and equitably.

Mitchell House Inc.

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established