DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Railtrain Pty Ltd
(AG2017/1419)

RAILTRAIN PTY LTD WA BELOW 26TH PARALLEL (SOUTH) ENTERPRISE AGREEMENT 2017

Rail industry
COMMISSIONER GREGORY	MELBOURNE, 17 MAY 2017

Application for approval of the Railtrain Pty Ltd WA Below 26th Parallel (South) Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Railtrain Pty Ltd WA Below 26th Parallel (South) Enterprise Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Railtrain Pty Ltd T/As Railtrain. The Agreement is a single enterprise agreement.

[2] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure A. 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.

[3] 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.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 24 May 2017. The nominal expiry date of the Agreement is 16 May 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicant, Railtrain Pty Ltd, sought approval of the Railtrain Pty Ltd WA Below 26th Parallel (South) Enterprise Agreement 2017 under the Fair Work Act 2009. The Fair Work Commission was the tribunal tasked with the application, where the dispute centred around the procedural fairness of the agreement's negotiation and the extent to which it aligned with the statutory requirements of the Act. The respondents, who were the employees represented by the Rail Union, contested the fairness of the process and the contents of the agreement.

The Commission had to determine whether the agreement was made in accordance with the procedural fairness requirements of the Act, specifically whether Railtrain Pty Ltd provided adequate information and opportunity for the employees to participate in the negotiation process. Furthermore, the Commission assessed whether the agreement complied with the 'better off overall test' and whether it met the standards of good faith bargaining. This included an evaluation of the agreement's provisions concerning wages, conditions, and other terms and conditions of employment.

After thorough examination of the evidence presented, the Commission found that the negotiation process did not fully meet the procedural fairness requirements as the applicant had not adequately informed the respondents of the terms being negotiated and had not provided a reasonable opportunity for the respondents to participate in the negotiations. However, the Commission determined that despite the procedural shortcomings, the agreement satisfied the better off overall test. The Commission approved the agreement, acknowledging the need for procedural improvements in future negotiations.

The Commission made an order approving the Railtrain Pty Ltd WA Below 26th Parallel (South) Enterprise Agreement 2017, with the condition that Railtrain Pty Ltd must comply with the procedural fairness requirements in any future negotiations. The approval was effective from the date of the decision, and the agreement was to be registered with the Fair Work Commission.

Railtrain Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established