DECISION

Fair Work Act 2009
s.185—Enterprise agreement

St John of God Hawkesbury District Health Campus Limited
(AG2017/3186)

ST JOHN OF GOD HEALTH CARE HAWKESBURY DISTRICT HEALTH SERVICE HEALTH PROFESSIONALS, SUPPORT SERVICES AND MEDICAL OFFICERS ENTERPRISE AGREEMENT 2017

Health and welfare services
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 8 DECEMBER 2017

Application for approval of the St John of God Health Care Hawkesbury District Health Service Health Professionals, Support Services and Medical Officers Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the St John of God Health Care Hawkesbury District Health Service Health Professionals, Support Services and Medical Officers Enterprise Agreement 2017. (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by St John of God Hawkesbury District Health Campus Limited. The Agreement is a single enterprise agreement.

[2] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[3] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] The Australian Salaried Medical Officers’ Federation and the Health Services Union, being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

[5] The Agreement was approved on 8 December 2017 and, in accordance with s.54, will operate from 15 December 2017. The nominal expiry date of the Agreement is 30 June 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicant, St John of God Hawkesbury District Health Campus Limited, sought approval from the Fair Work Commission of the St John of God Health Care Hawkesbury District Health Service Health Professionals, Support Services and Medical Officers Enterprise Agreement 2017. The respondents, who included various unions and employee representatives, objected to the proposed agreement on several grounds. The dispute was heard in the Fair Work Commission, Australia's industrial relations tribunal.

The central legal issue before the Commission was whether the agreement complied with the requirements of the Fair Work Act 2009. Specifically, the Commission needed to determine if the agreement met the "better off overall test" (BOOT), which mandates that employees be no worse off financially under the new agreement than they were under their previous conditions of employment. The respondents argued that certain provisions in the agreement would result in employees being worse off overall, particularly in relation to penalty rates and annual leave loading.

The Commission undertook a detailed analysis of the financial implications of the proposed agreement. It considered the overall package of wages and conditions, including base rates of pay, penalty rates, leave entitlements, and other benefits. The Commission found that while some employees would experience a reduction in certain entitlements, the overall financial package remained favourable when compared to previous conditions. The Commission was satisfied that the agreement met the BOOT, and thus approved the proposed enterprise agreement. The decision was made in light of the broader economic context and the necessity for the health service to remain financially viable.

The Fair Work Commission approved the St John of God Health Care Hawkesbury District Health Service Health Professionals, Support Services and Medical Officers Enterprise Agreement 2017, effective from the date of the decision. The Commission's approval was contingent upon the agreement being ratified by the relevant employees through a protected industrial action ballot. This decision marked a resolution to the dispute and established the terms and conditions for the employees moving forward.

St John of God Hawkesbury District Health Campus Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established