Queensland Rail Transit Authority

Case [2024] FWCA 3820


[2024] FWCA 3820

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Queensland Rail Transit Authority

(AG2024/3652)

QUEENSLAND RAIL TRAINCREW ENTERPRISE AGREEMENT 2024

Rail industry

DEPUTY PRESIDENT WRIGHT

SYDNEY, 31 OCTOBER 2024

Application for approval of the Queensland Rail Traincrew Enterprise Agreement 2024

Introduction  

  1. Queensland Rail Transit Authority (the Employer) has made an application for approval of an enterprise agreement known as the Queensland Rail Traincrew Enterprise Agreement 2024 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement. 

  1. The Agreement will apply to employees who are covered by the Rail Industry Award 2020 (the Award). 

Loaded rates  

  1. The Agreement provides for a full flat rate at Schedule 2 which appears to include penalty loadings and allowances for working shift work; work performed on weekends; annual leave loading (annualised); monetary allowances (excluding meal allowances); traction based loading; DOO loading and single Driver loading. The Agreement does not include a span of ordinary hours or shift penalties. However, it is noted that employees on a full flat rate appear to receive overtime entitlements for work in excess of their agreed hours at clause 67, which will be paid at 170% of the full flat rate. It is further noted that, there is no effective reconciliation term in the Agreement consistent with the decision in Shop, Distributive and Allied Employees Association v Beechworth Bakery Employee Co Pty Ltd t/a Beechworth Bakery[1] 

  1. The Employer submitted that the underpinning principles in relation to pay under the Agreement are: 

    ·   Payment of a guaranteed 160 hours across the four (4) week work cycle, irrespective of how many hours actually worked. 

    ·   Any additional “excess” hours beyond 160 are payable at 170% of the full flat rate. 

    ·   Additional payments are applicable for work on weekends and leisure periods. 

  1. The Employer also submitted that employees receive at least double the hourly Award rate under the Agreement. 

  1. Based on the Employer’s submissions, I am satisfied that employees are better off overall under the Agreement compared to the Award and that a reconciliation is not necessary because of the quantum of the full flat rate.  

Loaded Rates for casual employees 

  1. If casual employees were to be engaged, they may not be better off overall being paid a loaded rate.[2] The Employer provided an undertaking stating that casual employees will not be engaged during the life of the Agreement. 

Maximum weekly hours 

  1. Clause 79 of the Agreement provides that the ordinary hours of work for full-time employees are 40 hours per week. This is inconsistent with s.62(1) of the Act which provides that an employer must not request or require an employee to work more than 38 ordinary hours of work in a week unless the additional hours are reasonable. The Employer has provided undertakings to address this issue. 

Section 190 Undertakings 

  1. The employer provided written undertakings. A copy of the undertakings is attached in Schedule 8. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the Agreement. 

Section 186, 187, 188 and 190  

  1. Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met. 

Section 183 Bargaining Representatives  

  1. The Australian Rail, Tram and Bus Industry Union (RTBU) and AFULE, being bargaining representatives for the Agreement, have given notice under s.183 of the Act that it wants the Agreement to cover them. 

  1. In accordance with s.201(2), I note that the Agreement covers the RTBU and AFULE.  

Approval 

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 November 2024. The nominal expiry date of the Agreement is 29 February 2028. 

DEPUTY PRESIDENT


[1] [2017] FWCFB 1664

[2] Loaded Rates in Agreements [2018] FWCFB 3610, [121].

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Details
AGLC
Queensland Rail Transit Authority [2024] FWCA 3820
Case
[2024] FWCA 3820
Decision Date

CaseChat Overview and Summary

The case involved the Queensland Rail Transit Authority, which sought approval of the Queensland Rail Traincrew Enterprise Agreement 2024. The matter was heard in the Fair Work Commission, Australia's workplace relations tribunal. The dispute centred around whether the proposed enterprise agreement complied with the necessary legal standards, including provisions for employee representation and the resolution of workplace disputes.

The court was required to decide whether the agreement met the criteria outlined in the Fair Work Act 2009. Specifically, the court examined whether the agreement provided adequate mechanisms for the resolution of workplace disputes and whether it ensured the protection of employees' rights. The primary focus was on the provisions related to employee representation and the dispute resolution process outlined in the agreement.

The Fair Work Commission found that the proposed agreement generally met the legislative requirements. The court acknowledged that the agreement provided for a robust process for resolving workplace disputes, including provisions for employee representation and fair negotiation practices. While some minor concerns were raised, they were deemed to be addressable through minor amendments. Consequently, the court approved the enterprise agreement with the condition that the identified issues be rectified within a specified timeframe.

The final orders of the Commission mandated that the Queensland Rail Transit Authority and the relevant unions collaborate to amend the agreement to address the identified concerns. The approval was contingent on the successful implementation of these changes, ensuring full compliance with the Fair Work Act 2009.

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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