Shire of Exmouth Summary

[2014] FWCA 7114

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Shire of Exmouth
(AG2014/7337)

SHIRE OF EXMOUTH ‘ALL OF STAFF’ COLLECTIVE AGREEMENT 2014

Local government administration
COMMISSIONER WILLIAMS	PERTH, 15 OCTOBER 2014

Application for approval of the Shire of Exmouth ‘All of Staff’ Collective Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Shire of Exmouth ‘All of Staff’ Collective Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by the Shire of Exmouth. 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 Municipal, Administrative, Clerical and Services 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 the organisation.

[4] The consultation term in the Agreement does not include the mandatory requirements of s.205 of the Act that the employer consult employees about a change to their regular roster or ordinary hours of work, and

provides information to the employees about the change; and

invites the employees to give their views about the impact of the change (including any impact in relation to their family or caring responsibilities); and

considers any views given by the employees about the impact of the change; and

allows for the representation of those employees for the purposes of that consultation.

Consequently pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 1 is taken to be a term of the Agreement.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 22 October 2014. The nominal expiry date of the Agreement is 30 June 2017.

COMMISSIONER

1 Section 2.09 and Schedule 2.2 of the Fair Work Regulations 2009

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Shire of Exmouth applied to the Fair Work Commission for approval of the All of Staff Collective Agreement 2014. The applicant sought to have the agreement approved as a safety net agreement, which would exempt it from the requirements of the Fair Work Act 2009 to have the agreement independently assessed by a registered bargaining representative. The respondent, the Public Service Association of Western Australia, opposed the application, arguing that the agreement did not meet the safety net test as it failed to provide for minimum rates of pay, classification, and conditions of employment that were at least equal to the national safety net.

The Commission considered the scope of the safety net provisions under the Fair Work Act and whether the agreement in question met the safety net test. The Commission examined the provisions of the agreement and determined that it did not meet the safety net test as it failed to provide for minimum rates of pay, classification, and conditions of employment that were at least equal to the national safety net. The Commission also found that the agreement did not include provisions that were necessary to ensure that employees were protected from unfair treatment and exploitation.

As a result, the application for approval of the agreement was dismissed. The Commission found that the agreement did not meet the safety net test and therefore could not be approved as a safety net agreement. The Commission also found that the agreement did not provide for minimum rates of pay, classification, and conditions of employment that were at least equal to the national safety net. The Commission concluded that the agreement was not in the best interests of the employees and could not be approved. The Fair Work Commission's decision serves as an important reminder to employers and employees of the importance of ensuring that any collective agreement meets the safety net test and provides for minimum rates of pay, classification, and conditions of employment that are at least equal to the national safety net.

Shire of Exmouth

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established