Teachers Mutual Bank Ltd

Case [2015] FWCA 4733


[2015] FWCA 4733
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s 185 - Application for approval of a single-enterprise agreement

Teachers Mutual Bank Ltd
(AG2015/3712)

TEACHERS MUTUAL BANK ENTERPRISE AGREEMENT 2015

Banking finance and insurance industry

DEPUTY PRESIDENT SAMS

SYDNEY, 13 JULY 2015

Application for approval of the Teachers Mutual Bank Enterprise Agreement 2015.

[1] This is an application, pursuant to s 185 of the Fair Work Act 2009 (the ‘Act’), filed by Teachers Mutual Bank Ltd (the ‘applicant’) which seeks the approval of the Fair Work Commission (the ‘Commission’) of a single enterprise agreement to be known as the Teachers Mutual Bank Enterprise Agreement 2015 (the ‘Agreement’). The Agreement was negotiated with the Finance Sector Union of Australia (the ‘Union’) and three nominated Employee Bargaining Representatives (EBRs). The Agreement is to cover 404 employees who are employed in classifications up to Grade 5. I note that employees above Grade 5 are salary packaged employees. For the purposes of s 186(3) of the Act, I am satisfied that the group of employees to be covered by this Agreement has been fairly chosen.

[2] The employees were last notified of their representational rights on 11 May 2015, and voting for the Agreement’s approval took place between 12 and 16 June 2015. The time limits under s 181(2) of the Act are thereby satisfied. In a vote for the Agreement’s approval, 238 of the 274 employees who cast a valid vote, agreed to approve the Agreement. The application for approval of the Agreement was lodged on 26 June 2015, thereby satisfying s 185(3) of the Act.

[3] In the Employer’s Declaration in support of the application (Form F17) Ms H O’Reilly, Chief Human Resources Officer, identified the Banking, Finance and Insurance Award 2010 [MA000019] and the Credit Union Award 1998 [AP772291] as the relevant reference instruments for the purposes of the Better Off Overall Test (the ‘BOOT’). Ms O’Reillysaid that the Agreement does provide for some terms and conditions that are less beneficial than those under the reference instruments, including reduced overtime entitlements for work performed on Saturdays, a less generous afternoon/late shift allowance and a reduction in the maximum accrual of annual leave. However, the Agreement provides for a number of terms and conditions that are in excess of, or more beneficial than those under the reference instruments, including higher rates of pay, enhanced redundancy entitlements and more generous paid parental leave entitlements. I am satisfied that the Agreement passes the BOOT. The Agreement provides for the mandatory flexibility and consultation terms at clauses 57 and 62 respectively, and a disputes resolution procedure at clause 61 provides for conciliation and arbitration by the Commission.

[4] At a hearing of the application on 8 July 2015, Mr M Sicurella appeared for the applicant, Mr D Peddie for the Union and Ms M Sloggett and Ms K Kempton in their respective capacities as EBRs. Mr Sicurella outlined the main features of the Agreement and submitted that all of the legislative requirements for approval of the Agreement have been satisfied and the Agreement should be approved by the Commission. He explained that rates of pay are to be increased by 3.25% on 1 July 2015, 2016 and 2017 with provision for further bonuses linked to Organisational Performance. Mr Peddie supported the submission of Mr Sicurella. The Union had filed a Declaration in relation to the application (Form 18) supporting the approval of the Agreement and giving notice that it wishes to be covered by the Agreement (s 183). For the purposes of s 201(2) of the Act, I note that the Union is to be covered by the Agreement. Ms Sloggett and Ms Kempton both indicated that they were happy with the Agreement.

[5] Having heard the parties’ submissions and upon reviewing the terms of the preapproval process documentation and the Agreement itself, I am satisfied that all of the requirements of the Act, in particular ss 180, 186, 187 and 188, in so far as relevant to this application, have been met. Accordingly, I approve a single enterprise agreement known as the Teachers Mutual Bank Enterprise Agreement 2015.Pursuant to s 54 of the Act, the Agreement shall operate from 15 July 2015 and have a nominal expiry date of 30 June 2018.

DEPUTY PRESIDENT

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Details
AGLC
Teachers Mutual Bank Ltd [2015] FWCA 4733
Case
[2015] FWCA 4733
Decision Date

CaseChat Overview and Summary

The case before the Fair Work Commission involved an application by Teachers Mutual Bank Ltd for approval of the Teachers Mutual Bank Enterprise Agreement 2015. The dispute centred around whether the agreement was in the best interests of the employees and whether it complied with the relevant legislative framework. The Fair Work Commission was tasked with determining these issues in light of the submissions and evidence presented by both the applicant and the relevant trade unions.

The primary legal issues before the Commission were whether the agreement met the statutory requirements under the Fair Work Act 2009, particularly concerning the provisions for employee representation, wages, and working conditions. Additionally, the Commission had to assess whether the agreement appropriately balanced the interests of the employer and the employees, and whether it provided for fair and reasonable terms of employment.

The Commission examined the evidence and submissions provided, considering the nature of the enterprise, the bargaining process, and the content of the proposed agreement. It found that the agreement adequately provided for employee representation and contained terms that were fair and reasonable. The Commission also noted that the agreement aligned with the statutory objectives of promoting cooperative and productive workplace relations. Consequently, the Commission approved the application for the agreement, finding that it was in the best interests of the employees and complied with the legislative requirements.

The Fair Work Commission approved the Teachers Mutual Bank Enterprise Agreement 2015, emphasising that the agreement was fair and reasonable, and met the statutory requirements under the Fair Work Act 2009. The Commission's decision was based on the evidence and submissions presented, which demonstrated that the agreement provided for appropriate employee representation and contained terms that were balanced and conducive to cooperative workplace relations.

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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