| [2021] FWCA 6697 |
| FAIR WORK COMMISSION |
DECISION |
Fair Work Act 2009
s.185—Enterprise agreement
Shire of Yilgarn
(AG2021/8066)
SHIRE OF YILGARN ENTERPRISE AGREEMENT 2021
Local government administration | |
COMMISSIONER CIRKOVIC | MELBOURNE, 15 NOVEMBER 2021 |
Application for approval of the Shire of Yilgarn Enterprise Agreement 2021.
[1] The Shire of Yilgarn (the Applicant) has made an application for approval of an enterprise agreement known as the Shire of Yilgarn Enterprise Agreement 2021 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The agreement is a single enterprise agreement.
[2] The matter was allocated to my Chambers on 5 November 2021.
[3] On 5 November 2021, my Chambers sent correspondence to the parties seeking to address concerns with certain aspects of the Agreement and invited the parties to address these matters. The concerns were as follows:
• Chambers sought lodgement of an instrument of appointment for the Applicant representative as required by rule 24 of the Fair Work Rules.
• Chambers requested an amended agreement signature page that contains the postcode and state of the signatories to ensure Regulation 2.06A of the Fair Work Regulations 2009 is complied with.
• The nominal expiry date provided in the Agreement was more than 4 years after the Agreement will be approved which is inconsistent with section 186(5)(b) of the Act.
• Chambers raised better off overall concerns concerning part time employees who work overtime and trainees/apprentices who could be engaged under the Agreement.
[4] The Applicant has submitted an undertaking in the required form dated 8 November 2021. The undertaking deals with the following topics:
• The Agreement’s nominal expiry date will be 4 years from approval of the Agreement.
• The employer has provided a system to ensure that part-time workers are able to receive overtime rates when required.
• Trainees and apprentices will be paid in accordance with the appropriate classification in the Local Government Industry Award 2020 plus 1%.
[5] 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.
[6] 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.
[7] 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 this organisation.
[8] 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.
[9] 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 15 November 2025.
COMMISSIONER
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- AGLC
- Shire of Yilgarn [2021] FWCA 6697
- Case
- [2021] FWCA 6697
- Decision Date
CaseChat Overview and Summary
The central legal issues before the Commission were whether the enterprise agreement complied with the relevant provisions of the Fair Work Act 2009, including whether it was appropriately negotiated, contained appropriate terms and conditions, and if it met the "better off overall test" for the employees. The Commission had to consider if the agreement was fairly negotiated and whether it provided for fair and reasonable terms and conditions that were better off for the employees overall compared to the previous terms.
The Commission examined the negotiation process and found that it was conducted in good faith and involved meaningful consultation. It determined that the agreement contained fair and reasonable terms and conditions that were better off for the employees overall, satisfying the "better off overall test." Consequently, the Commission approved the Shire of Yilgarn Enterprise Agreement 2021, finding it to be compliant with the Fair Work Act. The Commission emphasised the importance of fair and reasonable terms and conditions in enterprise agreements and the necessity for meaningful consultation during the negotiation process.
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Background
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