Serco Sodexo Defence Services Pty Limited

[2013] FWCA 6927

[2013] FWCA 6927

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Serco Sodexo Defence Services Pty Limited
(AG2013/1649)

SERCO SODEXO DEFENCE SERVICES PTY LTD QUEENSLAND SERVICES AGREEMENT 2012

Cleaning services
COMMISSIONER GREGORY	MELBOURNE, 27 SEPTEMBER 2013

Application for approval of the Serco Sodexo Defence Services Pty Ltd Queensland Services Agreement 2012.

[1] Serco Sodexo Defence Services Pty Ltd has made application for approval of a single enterprise agreement. The Agreement is entitled the Serco Sodexo Defence Services Pty Ltd Queensland Services Agreement 2012.

[2] The application was initially considered in a hearing before the Commission in August. Prior to that hearing details were provided to the Applicant and the bargaining representatives about various matters where further information and clarification was sought. The participants in the hearing included the Applicant, the Union bargaining representatives, as well as various individual employee bargaining representatives located in both Townsville and Cairns. Further clarification and some additional explanatory details were also provided by different parties following those proceedings which assisted in the decision-making process.

[3] The Applicant also proposed at that time that various written undertakings form part of the Agreement. Details were also provided to the bargaining representatives. Those undertakings concern –

• a revised schedule of allowances;



• confirmation of the arrangements that are to apply when part-time employees work additional hours in excess of those originally agreed to;



• confirmation that the redundancy provisions in the Agreement are not intended to limit the minimum redundancy entitlements provided for by the National Employment Standards;



• how the additional penalty rates for casual employees working on weekends or public holidays are to be applied.

[4] I am satisfied that these undertakings appropriately deal with any issues to do with whether the Agreement meets the statutory requirements. I am also satisfied they do not cause financial detriment to any employees covered by the Agreement; nor do they result in substantial changes to the Agreement. The undertakings will be attached to and taken to be a term of the Agreement. A copy is also annexed to this decision.

[5] The employer and the Union and employee bargaining representatives were subsequently notified that the Agreement was going to be set down for hearing as part of the approval process. Three of the employee bargaining representatives indicated in response that they objected to it being approved. The application was accordingly set down for a further hearing on 20 September to deal with those objections. Each objector was asked to provide a brief written outline of the nature of their objection prior to the hearing. One of the employee bargaining representatives subsequently elected not to provide any further written details, nor did they appear in the hearing.

[6] The other objections dealt with issues to do with rostering arrangements, particularly when split shifts are being worked, or where the employer seeks to alter the spread of hours as provided for in the Agreement. Other issues concerned changes to weekend work arrangements, employees being directed to take leave during the Christmas period, and the requirements imposed on casual employees who are unable to to work a rostered shift. I accept that these are legitimate issues for employees to raise with management, and that they are issues of genuine concern. However, I am also satisfied that they are either operational issues, or issues to be dealt with in accordance with the appropriate dispute resolution procedures. I am not satisfied they are issues that need be dealt with in the context of the current task of considering whether the proposed Agreement should be approved, given the relevant statutory requirements.

[7] At this point the application was again listed as part of the approval process, however, a further issue was then raised by another employee bargaining representative. Two of the Union bargaining representatives subsequently indicated they also shared the same concern. It deals with the term of the proposed Agreement and the wage increases provided for during that period.

[8] The Agreement states that it has a three-year term from date of approval meaning that the nominal expiry date, if the Agreement was approved now, would be in the latter part of 2016. However, it only provides for wage increases at 1 July 2012, 2013 and 2014, meaning that post July 2014 there will be a substantial period during the life of the Agreement where there is no provision for a wage increase. This situation derives from the length of time taken to negotiate and reach a concluded Agreement and, in more recent times, the time taken to deal with the approval of the proposed Agreement.

[9] The employer subsequently volunteered a further undertaking providing that the nominal expiry date shall be 30 June 2015, instead of 3 years from the date of approval. The undertaking has been circulated to the Union and the employee bargaining representatives by both the employer and the Commission. I am again satisfied this undertaking does not cause any financial detriment to the employees covered by the Agreement. It also aligns the term of the Agreement with the wage increases provided for during its life. To that extent I am satisfied the undertaking does not result in a substantial change to the Agreement. This further undertaking will accordingly also be attached to and taken to be a term of the Agreement. A copy is again also annexed to this decision.

[10] The application for approval of the Agreement was also lodged outside of the 14 day period from when it was made. It is understood this was primarily due to difficulties associated with having the Agreement signed by one of the Union bargaining representatives. I am satisfied it is appropriate in those circumstances to exercise the power that exists under the Fair Work Act 2009 (Cth) to extend the time for making the application.

[11] The Transport Workers’ Union of Australia and United Voice have given notice under section 183 of the Act that they both want the Agreement to cover them. In accordance with section 201(2) of the Act the Agreement will cover those organisations.

[12] I am otherwise satisfied each of the requirements of ss. 186, 187, 188 and 190 of the Act as are relevant to this application have been met.

[13] The Agreement is approved and in accordance with s. 54 of the Act will operate from 4 October 2013. The nominal expiry date of the agreement is 30 June 2015.

Annexure 1:

Annexure 2:

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