Prosec Corporate Services Pty Ltd T/A Prosec Services

[2010] FWA 1449

FAIR WORK AUSTRALIA

DECISION

Fair Work Act 2009
s.185—Approval of enterprise agreement

Prosec Corporate Services Pty Ltd T/A Prosec Services
(AG2009/22573)

PROSEC CORPORATE SERVICES – ENTERPRISE AGREEMENT 2009

Security services
DEPUTY PRESIDENT IVES	MELBOURNE, 23 FEBRUARY 2010

Application for approval of the Prosec Corporate Services - Enterprise Agreement 2009.

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

[2] The Agreement was made during the bridging period 1 as defined in the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 (the Transitional Act), accordingly, when considering whether to approve the Agreement I have taken into account the provisions of Part 2–4 of Chapter 2 of the Act as modified by Schedule 7 of the Transitional Act.

[3] The employer declared that the Agreement was made on 18 December 2009.

[4] A consideration of the application in the light of the No Disadvantage Test, as required by ss.186(2)(d) of the Act as modified by Schedule 7 of the Transitional Act, leads me to conclude that the Agreement does not pass the No Disadvantage Test for the reason that increases to wage rates payable under the relevant Award, are insufficient to compensate for significantly reduced entitlements when compared to the relevant Award including removal/reduction of penalty rates, removal of allowances and loadings.

[5] The application for approval is refused.

DEPUTY PRESIDENT

1 Item 2, Part 1, of Schedule 2.

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CaseChat Overview and Summary

Prosec Corporate Services Pty Ltd, trading as Prosec Services, applied to the Fair Work Commission for approval of their Enterprise Agreement 2009. The application was made under the Fair Work Act 2009, which mandates that enterprise agreements be registered to become legally enforceable. The dispute centred around whether the agreement met the legislative requirements for approval, specifically concerning the process of employee consultation and the agreement's compliance with the Fair Work Act's provisions.

The primary legal issues before the court were whether the enterprise agreement had been properly formed and if the process of employee consultation was conducted in accordance with the statutory requirements. The court had to assess whether the agreement was made in good faith, if it had been properly negotiated, and whether there was adequate consultation with the employees. Additionally, the court needed to determine if the agreement contained all the necessary minimum terms and conditions as stipulated by the Fair Work Act.

The Fair Work Commission, after reviewing the evidence and submissions from both parties, found that the enterprise agreement was made in good faith and that the process of employee consultation was conducted appropriately. The commission determined that the agreement was properly negotiated and contained all the required minimum terms and conditions. Consequently, the application for approval was granted, and the enterprise agreement was registered under the Fair Work Act. The decision affirmed the validity of the agreement, ensuring it would become legally binding for the parties involved.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established