Omega Security Services Pty Ltd

Case

[2014] FWCA 7706

31 OCTOBER 2014

No judgment structure available for this case.

[2014] FWCA 7706

The attached document replaces the document previously issued with the above code on 31 October 2014.

The words “West Australian branch” have been removed from Paragraph [5].

Associate to Commissioner Gregory

Dated 7 November 2014

[2014] FWCA 7706
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Omega Security Services Pty Ltd
(AG2014/7430)

COMPASS GROUP (OMEGA SECURITY SERVICES) ENTERPRISE AGREEMENT 2014

Security services

COMMISSIONER GREGORY

MELBOURNE, 31 OCTOBER 2014

Application for approval of the Compass Group (Omega Security Services) Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Compass Group (Omega Security Services) Enterprise Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by Omega Security Services Pty Ltd. It is a single-enterprise agreement.

[2] On reviewing the application the Commission sought clarification from the Applicant about whether the terms of the proposed Agreement mean that payment for annual leave is incorporated into the hourly rate of pay, particularly as the Agreement contains provision for annualised pay arrangements. The decision of the Full Bench in Canavan Building Pty Ltd 1 determined that an agreement containing such arrangements cannot be approved because it creates the potential to permit annual leave to be paid for at an earlier and lower rate of pay than the rate of pay applicable at the time the leave is taken. Therefore, such arrangements do not comply with the requirements of s.90(1) of the Act. The Full Bench also indicated that the obligation to make payment in respect of paid annual leave arises when the employee actually takes the annual leave, and not in advance of that time.

[3] The Applicant advised in response that the terms of the Agreement do not apply in this way. The Agreement instead provides that when an employee takes a period of annual leave they are paid at the time they take leave at a rate that is no less than their base rate of pay for the ordinary hours of work in that period. They are not paid in advance of the leave being taken in the manner contemplated by the agreement in the matter of Canavan.

[4] I am otherwise satisfied that each of the requirements of ss.186, 187 and 188 as the relevant to this application for approval have been met.

[5] United Voice and the Australian Workers’ Union, who are both bargaining representatives for the Agreement, have each 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 both organisations.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 November 2014. The nominal expiry date of the Agreement is 6 November 2018.

COMMISSIONER

 1   [2014] FWCFB 3202

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Re Canavan Building Pty Ltd [2014] FWCFB 3202