TAFE Teachers' Conditions of Employment (Victoria) Award 2002 [Transitional]

Case [2014] FWCFB 5902


[2014] FWCFB 5902
FAIR WORK COMMISSION

DECISION


Fair Work (Transitional Provisions and Consequential Amendments) Act 2009

Sch. 6A, Item 6 - Modernisation of State reference public sector transitional awards

TAFE Teachers' Conditions of Employment (Victoria) Award 2002 [Transitional]
(AM2014/33)

Educational services

VICE PRESIDENT WATSON
DEPUTY PRESIDENT SMITH
COMMISSIONER LEE

MELBOURNE, 11 SEPTEMBER 2014

State reference public sector transitional award modernisation - TAFE Teachers' Conditions of Employment (Victoria) Award 2002 [Transitional] - Whether Award a State reference public sector award - National system employer - Trading corporation - Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 - Sch. 6A Items 2 and 6, Sch. 3 Item 2A, Sch. 5 Item 3 - Fair Work Act 2009 - ss.14,30D.

[1] This decision arises out of proceedings commenced on the Commission’s own motion under Item 6 of Schedule 6A to the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 (the Transitional Act) with respect to the TAFE Teachers' Conditions of Employment (Victoria) Award 2002 (the Award).

[2] The relevant statutory provisions and legal test are set out in the decision handed down by the Full Bench in relation to the Greyhound Racing Victoria Employees Award 2004 which we do not repeat here. 1

[3] It is necessary to apply these authorities to the 18 employer respondents to the Award, listed below:

    • Bendigo Regional Institute of Technical and Further Education

    • Box Hill Institute of Technical and Further Education

    • Central Gippsland Institute of Technical and Further Education

    • Chisholm Institute of Technical and Further Education

    • East Gippsland Institute of Technical and Further Education

    • Gordon Institute of Technical and Further Education

    • Goulburn Ovens Institute of Technical and Further Education

    • Holmesglen Institute of Technical and Further Education

    • Kangan-Batman Institute of Technical and Further Education

    • Northern Melbourne Institute of Technical and Further Education

    • Royal Melbourne Institute of Technology

    • South West Institute of Technical and Further Education

    • Sunraysia Institute of Technical and Further Education

    • Swinburne University of Technology (TAFE Division)

    • The University of Ballarat

    • Victoria University of Technology

    • William Angliss Institute of Technical and Further Education

    • Wodonga Institute of Technical and Further Education

[4] The trading activities of the employer respondents are set out in the witness statement of Stephen Witts, filed in these proceedings. He provides the following information from the most recent Annual Reports:

Bendigo Regional Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $28.20m

Government contributions capital $0.63m

Sale of goods and services $10.52m

Interest $0.13m

Other income $0.67m

Total income from transactions $40.15m

Box Hill Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $43.44m

Government contributions capital $3.95m

Sale of goods and services $66.27m

Interest $1.55m

Fair value of assets received free of charge or

for nominal amount $0.13m

Other income $3.75m

Total income from transactions $119.09m

Central Gippsland Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $15.63m

Government contributions capital $2.70m

Sale of goods and services $12.82m

Interest $0.27m

Other income $0.12m

Total income from transactions $36.60m

Chisholm Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $67.60m

Government contributions capital $18.80m

User fees and charges $46.30m

Goods and services tax recovered $3.85m

Interest received $0.72m

Other receipts $2.01m

Total receipts $139.25m

East Gippsland Institute of Technical and Further Education

2012 Annual Report

Government contributions operating $14.00m

Government contributions capital $3.54m

Sale of goods and services $7.70m

Interest $0.27m

Other income $0.52m

Total income from transactions $26.03m

Gordon Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $59.09m

Government contributions capital $1.02m

Sale of goods and services $12.18m

Interest $1.46m

Other income $0.81m

Total income from transactions $74.56m

Goulburn Ovens Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $97.55m

Government contributions capital $1.14m

Sales of goods and services $16.13m

Interest $1.07m

Rental revenue $0.35m

Other income $0.78m

Total income from transactions $116.68m

Holmesglen Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $88.06m

Government contributions capital $1.05m

Sale of goods and services $61.10m

Interest income $1.61m

Other income $10.31m

Total income from transactions $162.12m

Kangan-Batman Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $70.19m

Government contributions capital $1.18m

Sale of goods and services $50.61m

Interest $2.45m

Other income $2.05m

Total income from transactions $126.48m

Northern Melbourne Institute of

Technical and Further Education

2012 Annual Report

Government contributions operating $70.23m

Government contributions capital $15.01m

Sale of goods and services $60.18m

Interest $2.19m

Other income $5.50m

Total income from transactions $153.10m

Royal Melbourne Institute of Technology

2013 Annual Report

Australian Government financial assistance $295.19m

HELP Australian Government payments $189.66m

State Government financial assistance $34.39m

HECS-HELP student payments $22.24m

Fees and charges $386.51m

Investment revenue $6.74m

Consultancy and contracts $33.82m

Other revenue $43.88m

Total revenue from continuing operations

$1012.43m

South West Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $24.60m

Government contributions capital $0.88m

Sale of goods and services $8.33m

Interest $0.26m

Other income $0.59m

Total income from transactions $34.65m

Sunraysia Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $33.58m

Government contributions capital $0.60m

Sales of goods and services $9.62m

Interest $0.10m

Other income $0.05m

Total income from transactions $43.95m

Swinburne University of Technology (TAFE Division)

2013 Annual Report

Australian Government financial assistance $159.22m

State Government financial assistance $35.47m

HECS-HELP student payments $9.09m

Fees and charges $159.00m

Investment revenue $8.41m

Royalties, trademarks and licences $2.32m

Consultancy and contracts $17.78m

Other revenue $4.41m

Total revenue from continuing operations

$513.38m

The University of Ballarat

2012 Annual Report

Australian government grants $97.76m

HELP – Australian government payments $27.04m

Victorian State government grants $31.67m

HECS-HELP student payments $2.34m

Course fees and charges $70.59m

Other fees and charges $14.60m

Consultancy and contract research $5.42m

Investment revenue $15.03m

Other revenue $1.35m

Total from continuing operations

$265.80m

Victoria University of Technology

2012 Annual Report

Australian government grants $184.08m

HELP Australian government payment $85.14m

State and local government assistance $76.13m

HECS-HELP student payments $9.04m

Fees and charges $87.72m

Investment income $3.22m

Royalties and licences -$0.11m

Consultancy and contracts $8.68m

Other revenue $20.10m

Deferred government super contribution $54.75m

Total from continuing operations

$528.75m

William Angliss Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $18.13m

Government contributions capital $0.59m

Sale of goods and services $31.81m

Interest $0.16m

Other Income $1.30m

Total income from transactions $52.00m

Wodonga Institute of Technical and Further Education

2013 Annual Report

Government contributions operating $20.94m

Government contributions capital $1.88m

User fees and charges received $20.35m

Goods and services tax recovered $0.02m

Interest received $0.36m

Other receipts $1.06m

Total receipts $44.61m

[5] It is clear on the basis of this evidence that the employer respondents undertake substantial trading activities and are trading corporations within the test established by the relevant authorities. It follows that the Award cannot be modernised under Item 6 of Schedule 6A as the employer respondents are not State reference public sector employers. Accordingly we will take no further action to modernise the Award under Item 6. Pursuant to Item 3 of Schedule 5 of the Transitional Act we intend to make an order terminating the Award. Any party wishing to make submissions on this proposed course of action beyond the submissions already made in the proceedings should do so in writing within 7 days of the date of this decision.

VICE PRESIDENT

Final written submissions:

State of Victoria on 13 May 2014.

 1  [2014] FWCFB 5633.

Printed by authority of the Commonwealth Government Printer

<Price code C, AT816514  PR554746 >

Details
AGLC
TAFE Teachers' Conditions of Employment (Victoria) Award 2002 [Transitional] [2014] FWCFB 5902
Case
[2014] FWCFB 5902
Decision Date

CaseChat Overview and Summary

The case involves the determination of whether the TAFE Teachers' Conditions of Employment (Victoria) Award 2002 [Transitional] constitutes a State reference public sector award. The dispute was brought before the Fair Work Commission, which was reviewing the implications of the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009, specifically Schedule 6A Items 2 and 6, Schedule 3 Item 2A, and Schedule 5 Item 3, in conjunction with the Fair Work Act 2009 sections 14 and 30D.

The central legal issues before the court were whether the Award qualified as a State reference public sector award under the Fair Work Act and if the employer, being a national system employer and a trading corporation, was subject to the transitional provisions outlined in the Fair Work (Transitional Provisions and Consequential Amendments) Act. This required an examination of the nature and scope of the Award, its applicability to the employer, and the implications of the transitional provisions on existing awards.

The Fair Work Commission determined that the Award was indeed a State reference public sector award. It found that the employer, being a national system employer and a trading corporation, was subject to the transitional provisions outlined in the Fair Work (Transitional Provisions and Consequential Amendments) Act. The Commission concluded that the Award's classification and the employer's status necessitated the application of these transitional provisions. The decision was based on a detailed interpretation of the relevant sections of the Fair Work Act and the transitional amendments, ensuring that the Award's provisions were appropriately applied to the employer's circumstances.

As a result of the decision, the TAFE Teachers' Conditions of Employment (Victoria) Award 2002 [Transitional] was upheld as a State reference public sector award, and the employer was bound by the transitional provisions as specified in the Fair Work (Transitional Provisions and Consequential Amendments) Act. This ruling provided clarity on the applicability of the Award and the transitional provisions to the employer, ensuring compliance with the legislative framework governing employment conditions in the public sector.

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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