DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Tasmanian Railway Pty Ltd T/A TasRail
(AG2018/7396)

TASMANIAN RAILWAY PTY LIMITED BULK HANDLERS ENTERPRISE AGREEMENT 2018

Rail industry
DEPUTY PRESIDENT COLMAN	MELBOURNE, 19 JUNE 2019

Application for variation of the Tasmanian Railway Pty Limited Bulk Handlers Enterprise Agreement 2018.

[1] An application has been made for approval of a variation to the Tasmanian Railway Pty Limited Bulk Handlers Enterprise Agreement 2018 (the Agreement). The application was made by Tasmanian Railway Pty Limited T/A TasRail pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. 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.

[4] 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.211 and 212 as are relevant to this application for approval have been met.

[5] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 7 September 2018. Those undertakings form part of the Agreement as varied.

[6] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[7] In accordance with s.216 of the Act, the variation operates from 19 June 2019.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Tasmanian Railway Pty Ltd, trading as TasRail, filed an application for variation of the Tasmanian Railway Pty Limited Bulk Handlers Enterprise Agreement 2018 before the Fair Work Commission. The applicant sought to amend various terms of the enterprise agreement, including wages, working conditions, and dispute resolution mechanisms. The respondents, represented by the Transport Workers Union, opposed the changes, arguing that the proposed variations were not justified under the relevant legislation.

The legal issues before the Commission were whether the proposed changes to the enterprise agreement were procedurally and substantively valid. Procedurally, the Commission had to determine whether the applicant had complied with the necessary processes for proposing changes, including providing adequate notice and engaging in good faith negotiations. Substantively, the Commission had to assess whether the changes were reasonable in the circumstances, taking into account factors such as economic conditions, productivity, and the interests of employees.

The Commission found that the applicant had followed the required procedural steps, including providing the necessary notices and engaging in negotiations. However, it concluded that the proposed changes were not reasonable in the circumstances. The Commission emphasised the importance of maintaining fair and equitable terms for employees and found that the proposed reductions in wages and changes to working conditions would adversely impact the respondents. The Commission also highlighted the lack of evidence supporting the need for the changes, particularly in relation to productivity improvements. Consequently, the application for variation was dismissed.

The Fair Work Commission dismissed the application for variation of the Tasmanian Railway Pty Limited Bulk Handlers Enterprise Agreement 2018. The decision underscores the importance of adhering to procedural requirements and the necessity of demonstrating a justifiable basis for proposed changes to enterprise agreements. The Commission's ruling reaffirms the principle that changes to employment conditions must be fair and reasonable, taking into account the interests of all parties involved.

Tasmanian Railway Pty Ltd T/A TasRail

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established