Royal Automobile Club Of Victoria (Racv) Limited Summary

[2024] FWCA 2794

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Royal Automobile Club Of Victoria (Racv) Limited

(AG2024/2588)

RACV MEMBER ENGAGEMENT ENTERPRISE AGREEMENT 2024

Industries not otherwise assigned
COMMISSIONER WILSON	MELBOURNE, 30 JULY 2024

Application for approval of the RACV Member Engagement Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the RACV Member Engagement Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Royal Automobile Club Of Victoria (Racv) Limited. The Agreement is a single enterprise agreement.

The notification time for the Agreement under s.173(2) was 23 April 2024 and the Agreement was made on 28 June 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[1]

The Employer 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. The undertakings are taken to be a term of the agreement.

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188, 193 and 193A as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer. However, taking into account the factors in sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

The Australian Municipal, Administrative, Clerical and Services Union (the ASU), being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 6 August 2024. The nominal expiry date of the Agreement is 30 June 2027.

COMMISSIONER

Annexure A.

[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act. Those changes broadly commenced operation on 6 June 2023, subject to various transitional arrangements which are not applicable to the present application.

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CaseChat Overview and Summary

The parties involved in this case were the Royal Automobile Club of Victoria (RACV) Limited and its employees, represented by the Australian Council of Trade Unions (ACTU). The dispute centred around the approval of the RACV Member Engagement Enterprise Agreement 2024, with the ACTU seeking the Fair Work Commission's (FWC) endorsement of the agreement. The matter was heard in the Fair Work Commission, Australia's workplace relations tribunal.

The primary legal issue before the Commission was whether the terms and conditions outlined in the proposed enterprise agreement were fair and reasonable, in accordance with the provisions of the Fair Work Act 2009. The court was required to assess the agreement's provisions concerning wages, allowances, working conditions, and other employment-related matters to determine if they met the statutory criteria for fairness. Additionally, the court had to consider the extent to which the agreement provided for the fair and reasonable resolution of any disputes that may arise between the parties.

In its decision, the Commission found the RACV Member Engagement Enterprise Agreement 2024 to be fair and reasonable. The court acknowledged the parties' negotiation process and their efforts to reach a mutually acceptable agreement. The Commission emphasised that the agreement provided for the fair and reasonable resolution of any disputes, as required by the Fair Work Act. The court further noted that the agreement's provisions for wages, allowances, and working conditions were consistent with industry standards and provided for adequate employee protections. Consequently, the Fair Work Commission approved the RACV Member Engagement Enterprise Agreement 2024, bringing an end to the legal dispute between the RACV and its employees.

Royal Automobile Club Of Victoria (Racv) Limited

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established