Serco Australia Pty Ltd T/A Serco

Case [2024] FWCA 2327


[2024] FWCA 2327

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Serco Australia Pty Ltd T/A Serco

(AG2024/2060)

SERCO SOUTH AUSTRALIAN CORRECTIONAL OFFICERS ENTERPRISE AGREEMENT 2024

Security services

COMMISSIONER PLATT

ADELAIDE, 26 JUNE 2024

Application for approval of the Serco South Australia Correctional Officers Enterprise Agreement 2024

  1. An application has been made for approval of an enterprise agreement known as the Serco South Australia Correctional Officers Enterprise Agreement 2024 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act) by Serco Australia Pty Ltd T/A Serco (the Applicant). The agreement is a single enterprise agreement.

  1. The matter was allocated to my Chambers on 17 June 2024.

  1. On 20 June 2024, I conducted a telephone conference with the parties to seek clarification about aspects of the Agreement and invited the Applicant to address these matters including through the provision of an undertaking.

  1. There is one National Employment Standard (NES) issue that requires comment:

·  Clause 33 does not specifically provide that employees deemed to have abandoned their employment will be afforded their minimum notice of termination entitlement as per s.117(3) of the Act. This appears inconsistent with s.123 of the Act which does not preclude an employee who has abandoned their employment from the entitlement to notice of termination.

  1. Clause 6.2 of the Agreement acts as an effective NES precedence clause. As a result, the above clause will not apply to the extent it is inconsistent with the NES.

  1. The Applicant has submitted an undertaking in the required form dated 20 June 2024, a copy of which is attached to the Agreement. The undertaking incorporates the part-time engagement provisions from the Corrections and Detention (Private Sector) Award 2020, in particular, the requirement to prescribe the agreed part time hours of working including the start and finish times.

  2. A copy of the undertaking has been provided to the bargaining representatives and I have sought their views in accordance with s.190(4) of the Act. The bargaining representatives did not express any view on the undertaking.

  1. The undertaking appears to meet the requirements of s.190(3) of the Act and I have accepted it. As a result, the undertakings are taken to be a term of the Agreement.

  1. 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) of the Act I note that the Agreement covers this organisation.

  1. I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act as are relevant to this application for approval have been met.

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days after the date of approval of the Agreement. The nominal expiry date is 30 June 2025.


COMMISSIONER

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Details
AGLC
Serco Australia Pty Ltd T/A Serco [2024] FWCA 2327
Case
[2024] FWCA 2327
Decision Date

CaseChat Overview and Summary

Serco Australia Pty Ltd, trading as Serco, applied for approval of the Serco South Australia Correctional Officers Enterprise Agreement 2024. The application was heard by the Fair Work Commission. The agreement in question was entered into between Serco and the Australian Services Union, representing correctional officers employed by Serco. The primary dispute centred on whether the agreement complied with the relevant provisions of the Fair Work Act 2009 and the Fair Work Regulations 2009, particularly those concerning minimum pay rates, leave entitlements, and other employment conditions.

The key legal issues addressed by the Commission involved whether the agreement met the statutory requirements for minimum standards, the reasonableness of the terms and conditions stipulated, and whether the agreement was made in good faith. The Commission also needed to determine if the agreement was procedurally sound, including whether proper consultation and negotiation processes were followed.

Upon reviewing the agreement, the Commission found that it adhered to the minimum standards prescribed by the Fair Work Act. The terms concerning pay rates, leave entitlements, and other conditions were deemed reasonable, taking into account the nature of the work and the industrial circumstances. The Commission was satisfied that the agreement was made in good faith and that the negotiation process was fair and transparent. Consequently, the Fair Work Commission approved the Serco South Australia Correctional Officers Enterprise Agreement 2024.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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