SalesForce Australia Pty Ltd

[2016] FWCA 2386

[2016] FWCA 2386

DECISION

Fair Work Act 2009
s.185—Enterprise agreement
SalesForce Australia Pty Ltd T/A Salmat Contact
(AG2016/2594)
SALMAT CONTACT ENTERPRISE AGREEMENT (VIC)
Contract call centre industry
COMMISSIONER GREGORY	MELBOURNE, 18 APRIL 2016

Application for approval of the Salmat Contact Enterprise Agreement (VIC).

[1]        An application has been made for approval of an enterprise agreement known as the

Salmat Contact Enterprise Agreement (VIC) (the Agreement). The application was made

pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by SalesForce

Australia Pty Ltd T/A Salmat Contact. The Agreement is a single enterprise agreement.

[2]        The application and the Employer’s Statutory Declaration indicates that the proposed

Agreement is intended to cover 1011 employees, most of whom are engaged as permanent

employees in the contract call centre industry.

[3]        The application provides a detailed comparison between the entitlements under the

Agreement with those in the Contract Call Centre Industry Award 2010. I note that many

entitlements under the Agreement are equal to those in the modern award. Most notably:

 All wage rates

 Shift loadings

 Overtime

[4]        The applicant declared that there are several more beneficial entitlements in the

agreement, such as an increased entitlement to redundancy pay after 9 years of service and an

entitlement to 2 paid 15 minute breaks in a 7.5 hour shift. The applicant argued that these

increased entitlements compensate employees for the loss of annual leave loading in the

Agreement. In doing so, the applicant has provided financial analysis which attempts to

demonstrate that the additional paid tea breaks properly compensates for the loss of annual

leave loading.

[5]        Given the pay rates are equal to those in the modern award I sought further

information from the applicant with regards to how the effect of reducing annual leave

loading was explained to employees. I also sought further information as to why only 447

employees out of 1011 cast a valid vote.
[2016] FWCA 2386

[6]        The applicant provided the following information:

In relation to the paid tea breaks during employee briefings employees were advised

that they would retain their right to paid tea breaks under the new agreement when

compared with the old agreement. During bargaining meetings in response to a

reference to paid leave loading being applicable under the benchmark Award Salmat

discussed with bargaining representatives that under the current agreement paid tea

breaks are provided instead of paid leave loading and this position was noted and

accepted.

We understand your query in relation to the low voting numbers in Victoria however

feedback from TrueVote our independent service provider is that this is actually a

good turnout from their experience. In order to maximise voting participation Salmat

allowed employees 5 days to vote and 4 emails were distributed in the voting period

advising and reminding employees of their right to vote (two by TrueVote on 9th

March and 11th March) and two by Salmat. The long voting period together with the

electronic voting option was designed to ensure all employees had a reasonable

opportunity regardless of their roster schedule to have their say on the new

agreement.

Consideration

[7]        In considering an application for approval of an enterprise agreement s.186(2) of the

Act requires that, inter alia, “the agreement passes the better off overall test.” Section 193

continues to state:

“(1) An enterprise agreement that is not a greenfields agreement passes the better off

overall test under this section if the FWC is satisfied, as at the test time, that each

award covered employee, and each prospective award covered employee, for the

agreement would be better off overall if the agreement applied to the employee than if

1

the relevant modern award applied to the employee.”

[8]        It has been held in a number of Full Bench Decisions before the Commission that the

better off overall test is a global assessment of whether any deficiencies are outweighed by

2

more beneficial provisions of the Agreement, rather than a line by line assessment.

[9]        On this basis, and in the circumstances before me in this matter, I am satisfied that

notwithstanding reductions to annual leave loading and the entitlements outlined above that

are equal to the relevant reference instrument, there are adequate beneficial entitlements that

mean that employees will be better off overall.

[10]      Consequently, 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.

[11] The National Union of Workers, Australian Municipal, Administrative, Clerical and

Services Union and the Australian Rail, Tram and Bus Industry Union, being bargaining
[2016] FWCA 2386

representatives for the Agreement, have given notice under s.183 of the Act that they want the

Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers these

organisations.

[12]      The Agreement is approved and, in accordance with s.54 of the Act, will operate from

25 April 2016. The nominal expiry date of the Agreement is 25 April 2019.

COMMISSIONER

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1

Fair Work Act 2009, s.193

2

AKN Pty Ltd t/a Aitkin Crane Services [2015] FWCFB 1833, [44]