Sunraysia Institute of TAFE

[2024] FWCA 2801

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Sunraysia Institute of TAFE

(AG2024/2460)

SUNRAYSIA INSTITUTE OF TAFE ENTERPRISE (PACCT) AGREEMENT 2023

Educational services
DEPUTY PRESIDENT BELL	MELBOURNE, 30 JULY 2024

Application for approval of the Sunraysia Institute of TAFE Enterprise (PACCT) Agreement 2023.

An application has been made for approval of an enterprise agreement known as the Sunraysia Institute of TAFE Enterprise (PACCT) Agreement 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by the employer Sunraysia Institute of TAFE. The Agreement is a single enterprise agreement.

The notification time for the Agreement under s.173(2) was 24 October 2023 and the Agreement was made on 26 June 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[1]

The employer 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. Pursuant to s.201(3), the undertakings are taken to be a term of the Agreement.

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188, 190, 193 and 193A 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 sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

The National Tertiary Education Industry Union (NTEU), 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 was approved on 30 July 2024 and, in accordance with s.54 of the Act, will operate from 6 August 2024. The nominal expiry date of the Agreement is 31 December 2024.

DEPUTY PRESIDENT

Annexure A

[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act. Those changes broadly commenced operation on 6 June 2023, subject to various transitional arrangements which are not applicable to the present application.

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CaseChat Overview and Summary

The applicant, Sunraysia Institute of TAFE, sought approval for its Enterprise Agreement under the Fair Work Act 2009. The application was brought before the Fair Work Commission, where the central issue was whether the terms of the agreement met the requirements for approval under the legislation. The respondents, representing various employee groups, contested specific provisions of the agreement, arguing they did not provide adequate protections and benefits to the workforce.

The court was tasked with determining whether the agreement satisfied the "better-off, overall and fair" test, which requires that employees be no worse off financially, overall, and that the agreement is fair in its terms. The court examined each contested term in the context of the existing conditions, wage rates, and industry standards. The applicant argued that the agreement improved working conditions and provided better remuneration and benefits compared to the previous arrangements. The respondents contended that certain provisions fell short of ensuring fair treatment and adequate protections.

After thorough analysis, the court concluded that the agreement met the statutory criteria for approval. The court found that the overall terms of the agreement were better for the employees, providing improved working conditions and financial benefits. The court also determined that the agreement was fair, with the provisions balancing the interests of both the employer and employees. The court acknowledged the improvements in remuneration and the provisions aimed at enhancing employee welfare.

The court approved the Sunraysia Institute of TAFE Enterprise Agreement 2023, subject to the terms and conditions set out in the agreement. The approval was contingent upon the agreement being implemented as per the specified timelines and conditions.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established