Organ's Bus Service Pty.Ltd. t/as Organ's Coaches Kyneton Summary

[2014] FWCA 7180

FAIR WORK COMMISSION

DECISION

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

Organ's Bus Service Pty.Ltd. t/as Organ's Coaches Kyneton
(AG2014/7535)

ORGAN'S BUS SERVICE PTY. LTD. ENTERPRISE AGREEMENT 2014

Passenger vehicle transport (non rail) industry
DEPUTY PRESIDENT SAMS	SYDNEY, 13 OCTOBER 2014

Application for approval of the Organ's Bus Service Pty. Ltd. Enterprise Agreement 2014.

[1] This is an application, pursuant to s 185 of the Fair Work Act 2009 (the ‘Act’), filed by Organ’s Bus Service Pty. Ltd. t/as Organ’s Coaches Kyneton (the ‘applicant’) which seeks the approval of the Fair Work Commission (the ‘Commission’) of a single enterprise agreement to be known as the Organ’s Bus Service Pty. Ltd. Enterprise Agreement 2014 (the ‘Agreement’). The Agreement was negotiated with 12 nominated Employee Bargaining Representatives (EBRs) and is to cover 55 employees who are engaged as Bus Drivers and School Bus Supervisors based in Kyneton, Victoria. It does not cover maintenance, office and management staff. 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 1 August 2013, and voting for the Agreement’s approval took place between 9 and 12 September 2014. The time limits under s 181(2) of the Act are thereby satisfied. In a secret ballot, 31 of the 33 employees who cast a valid vote, agreed to approve the Agreement. The application for approval of the Agreement was lodged on 16 September 2014, thereby satisfying s 185(3) of the Act.

[3] In the Employer’s Declaration in support of the application (Form F17) Mr M Baird, General Manager identified the Passenger Vehicle Transportation Award 2010 [MA000063] and the Transport Workers (Passenger Vehicles) Award 2002 [AP818060] as the relevant reference instruments for the purposes of the Better Off Overall Test (the ‘BOOT’). Mr Bairdsaid that the Agreement provides for a number of conditions that are in excess of, or are more beneficial than the terms of the relevant reference instruments and that there are no less beneficial terms. The Agreement provides for higher rates of pay, and more generous superannuation entitlements. Rates or pay are to be increased on each 1 January and 1 July during the nominal term of the Agreement by reference to percentage changes between average weekly earnings in the preceding May to November and November to May, respectively. I am satisfied that the Agreement passes the BOOT. The Agreement provides for the mandatory flexibility and consultation terms at clauses 18 and 19 respectively, and a disputes resolution procedure at clause 17 provides for mediation by the Australian College of Mediators and, if unsuccessful, for conciliation and arbitration by the Commission (erroneously referred to as Fair Work Australia).

[4] At a hearing of the application on 7 October 2014, Mr M Baird appeared with Mr P McKenzie for the applicant. Mr Baird 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. He explained that the rates of pay were approximately 19% higher than those under the Modern Award and that the applicant had made the decision to provide continuous service grants under the Agreement which were previously provided for under the old federal Award, but were not included in the Modern Award.

[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 Organ’s Bus Service Pty. Ltd Enterprise Agreement 2014.Pursuant to s 54 of the Act, the Agreement shall operate from 14 October 2014 and have a nominal expiry date of 30 June 2017.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Organ's Bus Service Pty Ltd, trading as Organ's Coaches Kyneton, applied to the Fair Work Commission for approval of their Enterprise Agreement 2014. The application sought to have the agreement, which had been negotiated between the employer and employees' representatives, recognised and enforced as a valid and legally binding contract. The dispute arose due to the need to ensure the agreement complied with all relevant legislative requirements and adequately represented the interests of both parties involved.

The primary legal issue before the court was whether the Enterprise Agreement 2014 met all the necessary criteria for approval under the Fair Work Act 2009. This included ensuring the agreement was made in good faith, that it was not discriminatory, and that it contained minimum terms and conditions of employment as stipulated by the Fair Work Act. The court also needed to consider whether the agreement had been properly negotiated and whether it was in the best interests of the employees.

The Fair Work Commission, in reviewing the agreement, found that it met all the necessary criteria for approval. The agreement was negotiated in good faith, was not discriminatory, and contained all the minimum terms and conditions required by the Fair Work Act. The Commission determined that the agreement was fair and reasonable, providing adequate protections and benefits for the employees. As such, the Commission approved the Enterprise Agreement 2014, making it a legally binding contract between Organ's Bus Service Pty Ltd and its employees.

Organ's Bus Service Pty.Ltd. t/as Organ's Coaches Kyneton

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