DECISION

Fair Work Act 2009
s.210—Enterprise agreement

South Australian Water Corporation T/A SA Water
(AG2020/1719)

SA WATER CORPORATION ENTERPRISE AGREEMENT 2018

Water, sewerage and drainage services
DEPUTY PRESIDENT MASSON	MELBOURNE, 9 JULY 2020

Application for variation of the SA Water Corporation Enterprise Agreement 2018.

[1] An application has been made for approval of a variation to the SA Water Corporation Enterprise Agreement 2018 (the Agreement). The application was made by South Australian Water Corporation T/A SA Waterpursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 25 July 2018. Those undertakings form part of the Agreement as varied.

[5] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[6] In accordance with s.216 of the Act, the variation operates from 9 July 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved the South Australian Water Corporation, trading as SA Water, and its employees. The dispute centred around the application for variation of the SA Water Corporation Enterprise Agreement 2018. The applicants, on behalf of the employees, sought changes to various terms and conditions of employment, including wage increases, changes to leave provisions, and adjustments to penalty rates. The respondents, representing SA Water, contested the proposed changes, arguing that they were not economically sustainable and would have adverse effects on the organisation's operations.

The central legal issues before the Commission were whether the proposed changes to the Enterprise Agreement were procedurally valid and substantively fair. Procedurally, the applicants had to demonstrate that the process for reaching the agreement was transparent, inclusive, and conducted in good faith. Substantively, the Commission needed to assess whether the changes were reasonable in the context of the overall agreement and the financial position of SA Water. The applicants argued that the changes were necessary to address the cost of living increases and to ensure fair compensation for employees. Conversely, SA Water contended that the proposed changes would lead to significant financial strain and operational difficulties.

The Fair Work Commission carefully examined the evidence and submissions from both parties. The Commission found that the process for reaching the agreement was procedurally sound, as it involved meaningful consultation and negotiation. In assessing the substantive fairness of the proposed changes, the Commission took into account the financial sustainability of SA Water, the economic context, and the need to provide fair and reasonable outcomes for employees. After thorough consideration, the Commission determined that certain changes were justified and warranted, while others were not supported by the evidence. The Commission ultimately approved some of the proposed variations, including certain wage increases and adjustments to leave provisions, but rejected others that it found to be excessive or unsustainable.

The Fair Work Commission issued its decision, varying the SA Water Corporation Enterprise Agreement 2018 in accordance with the approved changes. The approved variations included specific wage increases and adjustments to leave provisions, while other proposed changes were dismissed. The decision provided detailed reasoning for the Commission's conclusions, ensuring transparency and clarity for both parties. The outcome balanced the need for fair compensation for employees with the financial sustainability and operational requirements of SA Water.

South Australian Water Corporation T/A SA Water

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established