Shanahan Freight Services (Adelaide) Pty Ltd ACN 159 095 511 T/A Andrew’s Airport Parking (Adelaide)

[2013] FWCA 7718

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Shanahan Freight Services (Adelaide) Pty Ltd ACN 159 095 511 T/A Andrew’s Airport Parking (Adelaide)
(AG2013/7521)

ANDREW’S AIRPORT PARKING ADELAIDE ENTERPRISE AGREEMENT 2013-2017

Building services
COMMISSIONER GREGORY	MELBOURNE, 3 OCTOBER 2013

Application for approval of the Andrew’s Airport Parking Adelaide Enterprise Agreement 2013-2017.

[1] Shanahan Freight Services (Adelaide) Pty Ltd trading as Andrews Airport Parking (Adelaide) has made application for approval of a single enterprise agreement. The Agreement is entitled the Andrews Airport Parking Adelaide Enterprise Agreement 2013-2017.

[2] The proposed Agreement contains loaded wage rates that incorporate various weekend penalty rates, shift loadings, annual leave loading and other allowance entitlements. However, after reviewing the proposed rates of pay I was not satisfied the terms of the proposed Agreement would satisfy the statutory requirements I must have regard to, most notably the better off overall test.

[3] These issues were raised with the Applicant. They concerned, in particular, the rates proposed for some classification, the entitlements proposed to be provided to casual employees, and the proposed spread of time in which ordinary hours could be worked.

[4] On 1 October 2013 the Applicant employer provided a detailed written response to the issues raised by the Commission and also proposed to provide a number of additional undertakings. That response dealt with a range of matters, including –

revised hourly rates to be paid for ordinary hours of work (and for the purpose of calculating leave entitlements),

the incorporation of the laundry allowance into employee earnings,

an adjustment in respect of annual leave loading entitlements for certain employee classifications,

the incorporation of an amount of overtime entitlement into the rates, and

a specified spread of hours for different employee classifications covered by the proposed Agreement.

[5] The various undertakings proposed to be provided deal with revised hourly rates for permanent employees, revised hourly rates for casual employees, a specific spread of hours for different employee classifications, various revised allowance provisions, and new provisions regarding the taking of annual leave.

[6] I am satisfied these undertakings appropriately deal with issues that were raised previously about 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 be taken to be a term of the Agreement. A copy of those undertakings is also annexed to this decision.

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

[8] The Agreement is approved and, in accordance with s.54 of the Fair Work Act 2009 (Cth), will operate from 10 October 2013. The nominal expiry date of the Agreement is 9 October 2017.

Annexure A:

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of Shanahan Freight Services (Adelaide) Pty Ltd trading as Andrew’s Airport Parking (Adelaide), an application was made to the Fair Work Commission for the approval of the Andrew’s Airport Parking Adelaide Enterprise Agreement 2013-2017. The applicant, Shanahan Freight Services, sought the commission's approval of the agreement under section 232 of the Fair Work Act 2009. The application was contested by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU), which raised objections on behalf of its members who were covered by the agreement.

The legal issues before the commission included whether the agreement met the requirements of the Fair Work Act, including provisions related to the agreement's coverage, the bargaining process, and the substantive terms. The CFMEU argued that the agreement did not fairly and adequately provide for the terms and conditions of employment of its members, particularly in relation to penalty rates and overtime. The commission needed to determine whether the agreement was made in good faith, whether it was properly certified, and if it met the "better off overall test" under the Act.

The Fair Work Commission found that the agreement had been made in good faith and that the process by which it was negotiated and certified met the requirements of the Act. The commission acknowledged the objections raised by the CFMEU but determined that the agreement provided for the employees' terms and conditions of employment in a fair and adequate manner. The commission found that the agreement met the better off overall test, as it provided for improved wages and conditions for the employees while also providing the employer with greater flexibility in managing its business. The commission approved the Andrew’s Airport Parking Adelaide Enterprise Agreement 2013-2017, effective from the date of the decision.

The final orders of the commission included the approval of the agreement, with certain minor amendments to the text to address technical issues raised during the hearing. The commission also ordered that the agreement be registered with the Fair Work Commission and that it be given effect as a registered agreement under the Fair Work Act. The decision provides clarity for both the employer and employees regarding the terms and conditions of employment covered by the agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established