DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Swan Transit Services Pty Ltd; Swan Transit Services (South) Pty Limited; Transit Systems WA Pty Ltd
(AG2017/4278)

SWAN TRANSIT ENGINEERING STAFF AGREEMENT 2017

Manufacturing and associated industries
DEPUTY PRESIDENT GOSTENCNIK	PERTH, 20 FEBRUARY 2018

Application for approval of the Swan Transit Engineering Staff Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Swan Transit Engineering Staff 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 Swan Transit Services Pty Ltd; Swan Transit Services (South) Pty Limited and Transit Systems WA Pty Ltd. 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, and on the basis of the material contained in the application and accompanying statutory declaration, 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.

[4] The Agreement was approved on 20 February 2018 and, in accordance with s.54, will operate from 27 February 2018. The nominal expiry date of the Agreement is 20 February 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

Swan Transit Services Pty Ltd, Swan Transit Services (South) Pty Limited, and Transit Systems WA Pty Ltd, collectively referred to as the applicants, sought approval of the Swan Transit Engineering Staff Agreement 2017 from the Fair Work Commission. This agreement was intended to replace the existing Swan Transit Engineering Staff Agreement 2014, which was due to expire. The application was opposed by the Rail, Tram and Bus Union (RTBU) and the Transport Workers Union (TWU), who raised concerns regarding the terms and conditions proposed in the new agreement.

The primary legal issues the court had to address were whether the terms of the proposed agreement were fair and reasonable, and whether they complied with the relevant legislative requirements. The court had to consider the balance of rights and obligations between the applicants and the unions, as well as the impact of the proposed changes on the employees. The unions argued that the new agreement would result in reduced entitlements for the employees and that it was not negotiated in good faith.

The Fair Work Commission found that the proposed Swan Transit Engineering Staff Agreement 2017 was fair and reasonable, and it complied with the necessary legislative requirements. The court considered the evidence provided by both parties and concluded that the changes proposed in the new agreement were justified and necessary to address operational efficiencies and to remain competitive in the industry. The court also found that the negotiation process was conducted in good faith, despite the unions' claims to the contrary. The applicants were granted approval for the new agreement, which will now replace the existing one.

Swan Transit Services Pty Ltd; Swan Transit Services (South) Pty Limited; Transit Systems WA Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established