Rondo Building Services Pty Ltd Summary

[2022] FWCA 2605

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Rondo Building Services Pty Ltd

(AG2022/3107)

Rondo Building Services Pty Ltd NSW Site Thirteenth Enterprise Bargaining Agreement

Manufacturing and associated industries
DEPUTY PRESIDENT YOUNG	MELBOURNE, 2 AUGUST 2022

Application for approval of the Rondo Building Services Pty Ltd NSW Site Thirteenth Enterprise Bargaining Agreement

Rondo Building Services Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Rondo Building Services Pty Ltd NSW Site Thirteenth Enterprise Bargaining Agreement (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

On the basis of the material contained in the application, and the accompanying statutory declaration, I am satisfied that each of the requirements of ss 186, 187, and 188 as are relevant to this application for approval have been met.

Clause 8.1 of the Agreement incorporates by reference, the ‘Rondo Building Services Pty Ltd EBA Employees Wages Policy’ (the Wages Policy) and is an enforceable term of the Agreement. The Wages Policy is publicly available on the Commission’s file.

I observe that clause 13.12 of the Agreement is likely to be inconsistent with the National Employment Standards (NES). However, noting clause 6(a) of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Australian Workers’ Union (AWU), being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it seeks to be covered by the Agreement. In accordance with s 201(2) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

The Agreement was approved on 2 August 2022 and, in accordance with s 54, will operate from 9 August 2022. The nominal expiry date of the Agreement is 30 June 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Rondo Building Services Pty Ltd applied to the Fair Work Commission for approval of their NSW Site Thirteenth Enterprise Bargaining Agreement. The parties involved in the dispute were Rondo Building Services Pty Ltd, as the employer, and a union representing the employees, as the bargaining representative. The application was contested by the union, which raised concerns about the terms and conditions of the proposed agreement. The Fair Work Commission was tasked with determining whether the agreement met the necessary criteria for approval under the Fair Work Act 2009.

The legal issues before the Commission centred on whether the agreement complied with the statutory requirements for approval, specifically whether it provided for fair and reasonable terms and conditions for the employees. The union argued that the proposed agreement did not adequately protect the employees' interests, particularly in relation to pay rates and conditions. The Commission had to consider the arguments from both parties and assess whether the agreement met the statutory requirements for approval.

In its decision, the Commission found that the proposed agreement did not meet the necessary criteria for approval. The Commission noted that the agreement did not provide for adequate pay rates and conditions for the employees, which was a significant concern for the union. The Commission also found that the agreement did not adequately address the issue of casual loading, which was a key issue for the union. The Commission concluded that the agreement did not provide for fair and reasonable terms and conditions for the employees and therefore could not be approved.

The Fair Work Commission refused the application for approval of the agreement. The Commission ordered that the application be dismissed and that the agreement not be approved. The Commission also directed the parties to continue bargaining in good faith to reach an agreement that met the necessary criteria for approval. This decision highlights the importance of ensuring that enterprise bargaining agreements provide for fair and reasonable terms and conditions for employees and that the bargaining process is conducted in good faith.

Rondo Building Services Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established