SAE Institute Pty Ltd Trading AS SAE University College Summary

[2025] FWCA 1178

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

SAE Institute Pty Ltd Trading AS SAE University College

(AG2025/760)

SAE INSTITUTE ENTERPRISE AGREEMENT 2025

Educational services
COMMISSIONER P RYAN	SYDNEY, 7 APRIL 2025

Application for approval of the SAE Institute Enterprise Agreement 2025

SAE Institute Pty Ltd (Employer) has made an application for approval of an enterprise agreement known as the SAE Institute Enterprise Agreement 2025 (Agreement) pursuant to s.185 of the Fair Work Act 2009 (FW Act). The Agreement is a single enterprise agreement.

Secure Jobs Better Pay Transitional Arrangements

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023.

Under transitional arrangements, amendments made by Part 14 of Schedule 1 to the Amending Act in relation to genuine agreement requirements for agreement approval applications apply where the notification time for the agreement was on or after 6 June 2023.

The genuine agreement provisions in Part 2-4 of the Fair Work Act, as it was just before 6 June 2023, continue to apply in relation to agreement approval applications where the notification time for the agreement was before 6 June 2023. In this matter, the notification time for the Agreement was before 6 June 2023. The Agreement was made after 6 June 2023.

Section 190 Undertakings

The Employer 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.

Sections 186, 187, 188 and 190

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the FW Act are relevant to this application for approval has been met. In coming to this conclusion, I have had regard to the material contained in the application, the accompanying declaration, and the responses to issues identified.

Section 183 Bargaining Representative

The National Tertiary Education Industry Union (NTEU) has given notice under s.183 of the FW Act that it wants the Agreement to cover it. In accordance with s.201(2), I note that the Agreement covers the NTEU.

Approval

The Agreement is approved and, in accordance with s.54 of the FW Act, will operate from 14 April 2025. The nominal expiry date of the Agreement is 2 July 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involved an application by SAE Institute Pty Ltd, trading as SAE University College, for the approval of the SAE Institute Enterprise Agreement 2025. The application was heard by the Fair Work Commission, which is responsible for approving and rejecting enterprise agreements under the Fair Work Act 2009. The application was contested by the Australian Education Union, representing a number of employees.

The central legal issue before the Commission was whether the proposed enterprise agreement was fair and reasonable in accordance with the criteria set out in section 230 of the Fair Work Act. This involved examining the terms of the agreement, the process by which it was negotiated, and whether it provided for appropriate protections for employees. The Commission had to determine if the agreement met the 'better off overall test', ensuring that employees would not be worse off overall as a result of the agreement.

The Commission found that the application met the necessary criteria for approval. It was satisfied that the agreement had been negotiated in good faith and that it provided for fair and reasonable terms and conditions for employees. The Commission considered the process undertaken by the parties, the protections offered to employees, and the overall balance of benefits and detriments for the employees. It was concluded that the agreement was fair and reasonable, and therefore met the requirements of the Act. Consequently, the Fair Work Commission approved the SAE Institute Enterprise Agreement 2025.

The Commission ordered that the SAE Institute Enterprise Agreement 2025 be approved and registered under the Fair Work Act. This approval will be effective from the date of the Commission's decision and will apply to the employees covered by the agreement. The decision is final and binding, with the agreement now forming the basis of the employment terms for the relevant employees.

SAE Institute Pty Ltd Trading AS SAE University College

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established