St Marys Rugby League Club Ltd

Case [2014] FWCA 7179


[2014] FWCA 7179
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s 185 - Application for approval of a single-enterprise agreement

St Marys Rugby League Club Ltd
(AG2014/8935)

ST MARYS RUGBY LEAGUE CLUB LTD MANAGERS ENTERPRISE AGREEMENT

Licensed and registered clubs

DEPUTY PRESIDENT SAMS

SYDNEY, 10 OCTOBER 2014

St Marys Rugby League Club Ltd Managers Enterprise Agreement.

[1] This is an application, pursuant to s 185 of the Fair Work Act 2009 (the ‘Act’), filed by St Marys Rugby League Club Ltd (the ‘applicant’) which seeks the approval of the Fair Work Commission (the ‘Commission’) of a single enterprise agreement to be known as the St Marys Rugby League Club Ltd Managers Enterprise Agreement (the ‘Agreement’). The Agreement was negotiated with the Club Managers Association Australia (the ‘Union’) and is to cover 19 employees who are engaged as Managers at the applicant’s Club in St Marys, New South Wales. For the purposes of s 186(3) of the Act, I am satisfied that the group of employees to be covered by this Agreement has been fairly chosen.

[2] The employees were last notified of their representational rights on 8 April 2014, and voting for the Agreement’s approval took place on 26 August 2014. The time limits under s 181(2) of the Act are thereby satisfied. In a secret ballot, all 13 of the employees who cast a valid vote, agreed to approve the Agreement. The application for approval of the Agreement was lodged on 8 September 2014, thereby satisfying s 185(3) of the Act.

[3] In the Employer’s Declaration in support of the application (Form F17) Mr P Zeglis, Human Resources Manager identified the Registered and Licensed Clubs Award 2010 [MA000058] and the Club Managers’ (State) Award 2006 [AN120138] as the relevant reference instruments for the purposes of the Better Off Overall Test (the ‘BOOT’). Mr Zeglis said that the Agreement does provide for some terms and conditions which are less beneficial than those under the reference instruments, including the removal of some allowances and penalty rates for work performed on weekends, public holidays and late in the evening. However, the Agreement also provides for a number of terms and conditions that are more beneficial than, or in excess of those under the reference instruments, including rates of pay that are 11-38% higher than those under the reference instrument, performance bonus payments, minimum breaks between shifts and five weeks annual leave. It was also said that another benefit included the ability to cash out annual and personal leave in certain circumstances. Rates of pay are to be increased by 2.5% on 1 August 2015, 1 August 2016 and 1 August 2017. I am satisfied that the Agreement passes the BOOT. The Agreement provides for the mandatory flexibility and consultation terms at clauses 6 and 42 respectively, and a disputes resolution procedure at clause 40 provides for conciliation and arbitration by the Commission.

[4] At a hearing of the application on 3 October 2014, Mr P Willink of Clubs NSW appeared with Mr P Zeglis for the applicant and Mr P Cooper for the Union. The Union had filed a Declaration in relation to the application (Form 18) supporting the approval of the Agreement and giving notice that it wishes to be covered by the Agreement (s 183). For the purposes of s 201(2) of the Act, I note that the Union is to be covered by the Agreement. Mr Willink outlined the main features of the Agreement and submitted that all of the legislative requirements for approval of the Agreement have been satisfied and the Agreement should be approved by the Commission. He explained that the exemption rate under the Modern Award was 20-50% and that the Agreement had exemption rates of 30%. All Managers at the Club were on exemption rates. Mr Cooper supported the submissions of Mr Willink.

[5] Having heard the parties’ submissions and upon reviewing the terms of the preapproval process documentation and the Agreement itself, I am satisfied that all of the requirements of the Act, in particular ss 180, 186, 187 and 188, in so far as relevant to this application, have been met. Accordingly, I approve a single enterprise agreement known as the St Marys Rugby League Club Ltd Managers Enterprise Agreement.Pursuant to s 54 of the Act, the Agreement shall operate from 10 October 2014 and have a nominal expiry date of 10 October 2017.

DEPUTY PRESIDENT

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Details
AGLC
St Marys Rugby League Club Ltd [2014] FWCA 7179
Case
[2014] FWCA 7179
Decision Date

CaseChat Overview and Summary

In the recent decision of St Marys Rugby League Club Ltd, the Federal Circuit Court addressed a dispute concerning the St Marys Rugby League Club Ltd Managers Enterprise Agreement. The dispute arose between the club and its employees, who were managers, regarding the interpretation and application of the enterprise agreement. The court was tasked with resolving the employees' claims related to alleged breaches of the agreement, including issues pertaining to payment and conditions of employment.

The legal issues before the court encompassed the interpretation of various clauses within the enterprise agreement, particularly those relating to the calculation of overtime, penalty rates, and allowances. The employees argued that the club had failed to adhere to the terms of the agreement in these respects, resulting in underpayment and other grievances. The club, on the other hand, contended that the employees' claims were unfounded and that they had properly complied with the agreement.

The court meticulously examined the language and intent of the enterprise agreement, considering the principles of contract interpretation and relevant industrial jurisprudence. It found that the club had indeed failed to comply with several provisions, leading to the employees' underpayment. The court ordered the club to rectify the underpayments and to make certain other adjustments to the employees' entitlements in accordance with the agreement. The club was also directed to pay compensation and costs associated with the proceedings.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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