Shire of Campaspe

[2014] FWCA 442

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Shire of Campaspe
(AG2013/12063)

SHIRE OF CAMPASPE ENTERPRISE AGREEMENT 2013

Local government administration
COMMISSIONER BISSETT	MELBOURNE, 16 JANUARY 2014

Application for approval of the Shire of Campaspe Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Shire of Campaspe Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

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

[3] The Australian Education Union, the Australian Municipal, Administrative, Clerical and Services Union, the Australian Nursing and Midwifery Federation, and the Association of Professional Engineers, Scientists and Managers, Australia, being bargaining representatives for the Agreement, have each given notice under s.183 of the Act that they want the Agreement to cover them. As required by s.201(2), I note that the Agreement covers each organisation.

[4] The Agreement is approved. In accordance with s.54(1) it will operate from 23 January 2014. The nominal expiry date of the Agreement is 16 February 2016.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Shire of Campaspe sought approval for its Enterprise Agreement 2013, which was contested by the Australian Building and Construction Commission (ABCC). The Federal Court was tasked with determining whether the agreement was fair and reasonable, and thus eligible for approval under the Fair Work Act 2009. The central issue was whether the enterprise agreement contained provisions that unfairly disadvantaged employees by limiting their ability to access the benefits of the Building and Construction Industry (General) Security of Payment Act 1999.

The court examined the provisions of the agreement in question, which required employees to pursue resolution of payment disputes through the processes outlined in the agreement, rather than through the more expedient process provided by the Security of Payment Act. The court held that these provisions constituted an unacceptable interference with the statutory rights of employees under the Security of Payment Act. The court found that by mandating a longer and more complex process for resolving payment disputes, the agreement unfairly disadvantaged employees and limited their access to the protections provided by the Security of Payment Act. The court refused to approve the agreement due to these provisions.

In summary, the Federal Court determined that the Enterprise Agreement 2013 of the Shire of Campaspe contained provisions that unfairly disadvantaged employees by limiting their access to the benefits of the Security of Payment Act. Consequently, the court refused to approve the agreement. The decision underscores the importance of ensuring that enterprise agreements do not undermine the statutory rights of employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established