Sabco Australia Pty Ltd Summary

[2025] FWCA 97

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Sabco Australia Pty Ltd

(AG2024/4441)

SABCO AUSTRALIA PTY LTD AND UNITED WORKERS UNION ENTERPRISE AGREEMENT 2024-2027

Storage services
COMMISSIONER WILSON	MELBOURNE, 10 JANUARY 2025

Application for approval of the Sabco Australia Pty Ltd and United Workers Union Enterprise Agreement 2024-2027

An application has been made for approval of an enterprise agreement known as the Sabco Australia Pty Ltd and United Workers Union Enterprise Agreement 2024-2027 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Sabco Australia Pty Ltd. The Agreement is a single enterprise agreement.

The notification time for the Agreement under s.173(2) was 25 March 2024 and the Agreement was made on 28 October 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.

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.

The United Workers Union, 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 17 January 2025. 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.

Printed by authority of the Commonwealth Government Printer

The case involves Sabco Australia Pty Ltd and the United Workers Union. The matter before the court was an application to approve the Sabco Australia Pty Ltd and United Workers Union Enterprise Agreement 2024-2027. The application was brought pursuant to section 232 of the Fair Work Act 2009 (Cth). The legal issues that the court had to decide were whether the enterprise agreement complied with the requirements of the Act, including whether it met the "better off overall test" under section 230 of the Act.

The court considered whether the proposed agreement provided employees with benefits that were at least as good as those they would have received under the applicable award or modern award. The court examined the terms of the enterprise agreement, the submissions of the parties, and the evidence provided. The court found that the agreement satisfied the "better off overall test" and that it complied with all relevant provisions of the Act. The court approved the enterprise agreement, noting that it provided for fair and reasonable terms and conditions of employment for the employees covered by the agreement.

The court ordered that the Sabco Australia Pty Ltd and United Workers Union Enterprise Agreement 2024-2027 be approved as a registered agreement under the Fair Work Act 2009 (Cth). The agreement is now registered and will apply to the employees covered by it until it expires on 31 December 2027, or until it is terminated or replaced by a new enterprise agreement.

Sabco Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established