| [2024] FWCA 4112 |
| FAIR WORK COMMISSION |
| DECISION |
Fair Work Act 2009
s.185—Enterprise agreement
Stacy Carroll T/A Scania Australia Pty Ltd
(AG2024/4294)
SCANIA NATIONAL ENTERPRISE AGREEMENT 2024 - 2027
| Vehicle industry | |
| COMMISSIONER REDFORD | MELBOURNE, 26 NOVEMBER 2024 |
Application for approval of the Scania National Enterprise Agreement 2024 - 2027
An application has been made for approval of an enterprise agreement known as the Scania National Enterprise Agreement 2024 - 2027 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Stacy Carroll T/A Scania Australia Pty Ltd. The Agreement is a single enterprise agreement.
Undertakings
In response to an issue raised with the employer in relation to its application, it has provided written undertakings, a copy of which are 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. The undertakings are taken to be a term of the agreement. The undertakings relate to:
a.The definition of a shiftworker.
Mandatory clauses
This agreement’s underpinning Award, the Vehicle, Repair, Services and Retail Award 2020 (the Award), provides for a definition of a shiftworker at clause 29.11. While the agreement is silent as to the definition of a shiftwork, an undertaking was provided by the employer such that the definition of a shiftworker reflects the definition provided in clause 29.11 of the Award.
Interaction with the National Employment Standards
Clause 5.2 of the Agreement provides that the National Employment Standards (NES) applies to employees covered by the agreement except where the agreement provides a more favourable outcome (NES precedence clause). On this basis, I am satisfied that the apparent inconsistencies with the NES outlined below do not prevent the approval of this agreement:
- Clause 13.7 of the Agreement provides for compassionate leave, however it is silent in relation to the entitlement in circumstances when an employee, their spouse, or de facto partner has a miscarriage or gives birth to a stillborn child. Section 104(1)(c) of the Act provides for compassionate leave in these circumstances. On the basis of the NES precedence clause, the superior entitlement provided for in the NES will apply.
- Clause 13.1(b) provides for no additional week of annual leave for shiftworkers. However, taking into account the NES precedence clause read in conjunction with an undertaking provided by the employer, the superior entitlement in s 87 of the Act providing for 5 weeks annual leave for a shift worker will apply.
Consideration
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 Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union (AMWU) 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) I note that the Agreement covers the organisation.
The Agreement is approved and, in accordance with s.54 of the Act, will operate from 3 December 2024.
COMMISSIONER
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<AE526881 PR781646>
Annexure A
- AGLC
- Stacy Carroll T/A Scania Australia Pty Ltd [2024] FWCA 4112
- Case
- [2024] FWCA 4112
- Decision Date
CaseChat Overview and Summary
The primary legal issues before the Fair Work Commission were whether the agreement was a "genuine" enterprise agreement, if it had been negotiated in good faith, and if it complied with the relevant provisions of the Fair Work Act 2009. The Commission had to determine if the agreement was fair and reasonable, if it had been appropriately negotiated, and if it did not include any prohibited content. Additionally, the Commission had to assess whether the agreement provided adequate protection for employees' interests, including ensuring their rights and obligations were clearly defined.
The Fair Work Commission found that the Scania National Enterprise Agreement 2024-2027 was genuinely negotiated and met the criteria for approval. The Commission noted that the agreement contained provisions for fair and reasonable terms and conditions of employment, and that it provided adequate mechanisms for dispute resolution. The Commission also found that the agreement did not include any content that was prohibited under the Fair Work Act 2009. Given these findings, the Fair Work Commission approved the Scania National Enterprise Agreement 2024-2027, subject to certain conditions that aimed to further protect the employees' interests.
The Fair Work Commission's final orders included the approval of the Scania National Enterprise Agreement 2024-2027, with specific conditions to ensure that the employees' interests were adequately protected. These conditions included provisions for ongoing consultation between the employer and the employees' representatives, as well as requirements for the employer to provide regular updates on the agreement's implementation. The Commission also directed that any changes to the agreement in the future must go through a similar approval process. This decision provided clarity and certainty for both Scania Australia and the employees covered by the agreement.
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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