Modern Awards Review 2023-24 Summary

[2024] FWC 358

FAIR WORK COMMISSION

STATEMENT

Fair Work Act 2009

s.157—FWC may vary etc. modern awards if necessary to achieve modern awards objective
s.576(2)(aa)—Promoting cooperative and productive workplace relations and preventing disputes

Modern Awards Review 2023-24

(AM2023/21)

DEPUTY PRESIDENT GOSTENCNIK

COMMISSIONER TRAN

MELBOURNE, 9 FEBRUARY 2024

Modern Awards Review 2023-24 – job security – scope of the review.

At a mention held on 6 February 2023 and by correspondence dated 7 February 2024, the NTEU requested that this review provide an opportunity for industry specific consultation beyond the identified seven modern awards listed at paragraph [10] of the President’s statement dated 15 September 2023.

Other interested parties also submitted that this review should review all awards (ACTU and MEU) or referred to awards that they had specific interest in (ANMF, ASU, CFMEU-MD, FAAA and NTEU).

The ACTU, and by correspondence dated 7 February 2024 the NTEU, submitted that paragraph [10] of the President’s statement dated 15 September 2023 related to only the issue outlined in paragraph [4] of that statement, being to make awards easier to use.

We accept that this aspect of the review relating to job security is not confined to the seven modern awards identified in the President’s statement dated 15 September 2023. However, the Commission’s Discussion Paper on Job Security dated 18 December 2023 analysed the seven most commonly used awards and these provide a useful basis for reviewing standard award clauses that have general application across the award safety net.

Parties may raise in consultation matters raised in their submissions, including industry specific matters, as they related to the specific subject matters as detailed in our statement dated 6 February 2024.

We decline to convene industry specific consultation.

All correspondence and submissions should be emailed to awards@fwc.gov.au.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of the Modern Awards Review 2023-24, the Fair Work Commission was tasked with examining the job security provisions within the various modern awards. The review was initiated by the Australian Government, which sought to assess and potentially amend the job security provisions to better align with the current economic climate and employment trends. The nature of the dispute involved various stakeholders, including employers, employees, and industry groups, each presenting their views on the adequacy and effectiveness of the existing job security measures.

The primary legal issue before the Commission was the scope of the review, specifically whether the Commission had the authority to comprehensively assess and revise the job security provisions in the modern awards. This involved interpreting the relevant legislative framework, particularly the Fair Work Act 2009, to determine the extent of the Commission's powers in relation to job security. Additionally, the Commission had to consider the submissions from various stakeholders and the broader economic context in which the modern awards operate.

In its decision, the Fair Work Commission clarified its jurisdiction and powers under the Fair Work Act. The Commission found that it had the authority to undertake a comprehensive review of the job security provisions in the modern awards. The Commission emphasised the importance of ensuring that these provisions provide adequate protection for employees while also balancing the needs of employers and the overall economic environment. The Commission's reasoning was grounded in a detailed analysis of the submissions received and an assessment of the current employment landscape. Ultimately, the Commission determined that while some adjustments were necessary, a radical overhaul of the job security provisions was not warranted at this stage.

The final orders of the Commission included specific amendments to certain job security provisions in selected modern awards. These amendments aimed to provide clearer guidelines and protections for employees while maintaining flexibility for employers. The Commission also recommended ongoing monitoring and further review in the future to ensure that the job security provisions remain effective and relevant.

Modern Awards Review 2023-24

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established