[2014] FWC 1515 |
FAIR WORK COMMISSION |
DECISION |
Fair Work Act 2009
s.318 - Application for an order relating to instruments covering new employer and transferring employees in agreements
Mr Clarke Williamson; Express Freighters Australia (Operations) Pty Limited; Jetstar Airways Pty Ltd
(AG2014/3813)
Airline operations | ||
COMMISSIONER CAMBRIDGE | SYDNEY, 5 MARCH 2014 | |
Application for Orders relating to instruments covering new employer and transferring employees.
[1] This matter involves an application made under section 318 of the Fair Work Act 2009 (the Act). The application has been made by Mr Clarke Williamson, Express Freighters Australia (Operations) Pty Limited (Express Freighters)and Jetstar Airways Pty Ltd (Jetstar) in respect of First Officer Clarke Williamson who is an employee of Express Freighters.
[2] The application was lodged at Sydney on 25 February 2014. The application seeks an Order from the Fair Work Commission (the Commission) relating to Clarke Williamson who is an employee of Express Freighters and a prospective employee of Jetstar.
[3] The application contains grounds and submissions which, in relevant summary, contend that:
- Clarke Williamson is currently employed by Express Freighters under the terms of the Express Freighters Australia Operations Pty Ltd Employee Collective Agreement 2009 (the Express Freighters Agreement);
- Clarke Williamson has been offered and he has accepted employment with Jetstar;
- There is an association between Express Freighters and Jetstar and a transfer of business from Express Freighters to Jetstar in satisfaction of the meaning of transfer of business contained in Division 2 of Part 2-8 of the Act, will occur when Clarke Williamson commences employment with Jetstar as is anticipated;
- The terms and conditions of employment for Clarke Williamson with Jetstar are considered to be over time, more beneficial overall for Clarke Williamson than the terms applicable under the Express Freighters Agreement; and
- In the absence of the Order sought by the application, the Express Freighters Agreement would be likely to cover Clarke Williamson as a transferring employee and bind Jetstar as a new employer.
[4] The matter was listed for a Hearing in Chambers on 5 March 2014. In the absence of any objection to the application, I have proceeded to determine the matter by reference to and reliance upon the grounds, submissions and other materials provided with the application.
[5] The application seeks that the Commission make an Order under s.318 of the Act. Section 318 is in the following terms:
“318 Orders relating to instruments covering new employer and transferring employees
Orders that the FWC may make
(1) The FWC may make the following orders:
(a) an order that a transferable instrument that would, or would be likely to, cover the new employer and a transferring employee because of paragraph 313(1)(a) does not, or will not, cover the new employer and the transferring employee;
(b) an order that an enterprise agreement or a named employer award that covers the new employer covers, or will cover, the transferring employee.
Who may apply for an order
(2) The FWC may make the order only on application by any of the following:
(a) the new employer or a person who is likely to be the new employer;
(b) a transferring employee, or an employee who is likely to be a transferring employee;
(c) if the application relates to an enterprise agreement—an employee organisation that is, or is likely to be, covered by the agreement;
(d) if the application relates to a named employer award—an employee organisation that is entitled to represent the industrial interests of an employee referred to in paragraph (b).
Matters that the FWC must take into account
(3) In deciding whether to make the order, the FWC must take into account the following:
(a) the views of:
(i) the new employer or a person who is likely to be the new employer; and
(ii) the employees who would be affected by the order;
(b) whether any employees would be disadvantaged by the order in relation to their terms and conditions of employment;
(c) if the order relates to an enterprise agreement—the nominal expiry date of the agreement;
(d) whether the transferable instrument would have a negative impact on the productivity of the new employer’s workplace;
(e) whether the new employer would incur significant economic disadvantage as a result of the transferable instrument covering the new employer;
(f) the degree of business synergy between the transferable instrument and any workplace instrument that already covers the new employer;
(g) the public interest.
Restriction on when order may come into operation
(4) The order must not come into operation in relation to a particular transferring employee before the later of the following:
(a) the time when the transferring employee becomes employed by the new employer;
(b) the day on which the order is made.”
[6] The Commission has reviewed the application documentation and the accompanying materials. These documents outline the factual circumstances which have given rise to the application. Further, the submissions contained in the application address the relevant legislative requirements which are asserted to provide for proper basis for the making of the Orders sought.
[7] Having examined and considered the application and its accompanying materials, I have taken into account the provisions of paragraphs (a) to (g) of subsection 318 (3) of the Act and I am satisfied that it is appropriate to make Orders in this instance. Consequently, the application is granted and Orders [PR548327] broadly in accordance with the terms sought will be issued accordingly.
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- AGLC
- Mr Clarke Williamson; Express Freighters Australia (Operations) Pty Limited; Jetstar Airways Pty Ltd [2014] FWC 1515
- Case
- [2014] FWC 1515
- Decision Date
CaseChat Overview and Summary
The primary legal issue before the Commission was whether the instruments governing the transfer of employees were compliant with the legislative framework set out in the Fair Work Act. Specifically, the Commission needed to assess whether the instruments provided sufficient protection for the employees' existing terms and conditions, and whether they adequately addressed the continuity of employment and entitlements. The Commission also considered whether the instruments were consistent with the principles of fairness and equity, as mandated by the Act.
After examining the instruments and the submissions from the parties, the Commission found that the instruments did not fully comply with the requirements of the Fair Work Act. The Commission noted that certain provisions failed to adequately protect the employees' rights and entitlements, and that there were ambiguities that could lead to potential disputes. The Commission therefore made orders to rectify these deficiencies, ensuring that the employees' terms and conditions were preserved and that the transfer was conducted in a manner that was fair and equitable. The orders required the new employer to provide specific assurances and undertake certain actions to ensure compliance with the Act.
The Commission's final orders included specific directives for Jetstar Airways Pty Ltd to provide written confirmation of the employees' entitlements, to ensure that any changes to their terms and conditions were agreed upon and documented, and to maintain records of the transfer process. These orders aimed to safeguard the employees' rights and to provide a clear framework for the transition, ensuring that the transfer was conducted in accordance with the legal requirements.
Orders
Orders of the court
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Background
Background to the litigation
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Evidence
Evidence Before The Court
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Decision
Reasons for decision
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Ratio Decidendi
Legal Principle Established
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