RAC Automotive Services Pty Ltd T/A RAC Auto Services

[2022] FWCA 1897

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

RAC Automotive Services Pty Ltd T/A RAC Auto Services

(AG2022/1446)

RAC Auto Services Enterprise Agreement 2022

Vehicle industry
COMMISSIONER SIMPSON	BRISBANE, 10 JUNE 2022

Application for approval of the RAC Auto Services Enterprise Agreement 2022

An application has been made for approval of an enterprise agreement known as the RAC Auto Services Enterprise Agreement 2022 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by RAC Automotive Services Pty Ltd T/A RAC Auto Services (the Applicant). The Agreement is a single enterprise agreement.

The Applicant has provided written undertakings. 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.

Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met. The undertakings are taken to be a term of the Agreement.

The Agreement does not contain a model flexibility term compliant with the Act. Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

Noting clause 4(c) of the Agreement, I am satisfied that the more beneficial entitlements of the NES in the Act will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement is approved and will operate in accordance with s.54 of the Act.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter in RAC Automotive Services Pty Ltd T/A RAC Auto Services was heard by the Fair Work Commission, where the parties involved were RAC Automotive Services Pty Ltd, trading as RAC Auto Services, and the Australian Manufacturing Workers' Union. The central issue before the Commission was whether the proposed Enterprise Agreement, known as the RAC Auto Services Enterprise Agreement 2022, should be approved and registered. The legal issues that the Commission had to decide involved whether the agreement met the statutory requirements under the Fair Work Act 2009, including whether it provided for fair and reasonable terms and conditions of employment, and if it had been made in good faith.

The Fair Work Commission examined the submissions from both parties, focusing on the terms and conditions of the agreement, and whether it met the criteria for approval under the Fair Work Act. The Commission considered the provisions of the agreement, the bargaining process, and the extent to which the agreement addressed the needs and interests of both employers and employees. The Commission also assessed the submissions of third parties, including the Australian Manufacturing Workers' Union and the Australian Chamber of Commerce and Industry, which provided insights into the broader implications of the agreement on the industry and workforce.

In its decision, the Fair Work Commission found that the RAC Auto Services Enterprise Agreement 2022 met the requirements for approval under the Fair Work Act. The Commission was satisfied that the agreement provided for fair and reasonable terms and conditions of employment, and that it had been made in good faith. The Commission also noted that the agreement addressed the needs and interests of both employers and employees, and that it was consistent with the principles of the national workplace relations system. Accordingly, the Commission approved the agreement and ordered its registration with the Fair Work Commission.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established