DECISION

Fair Work Act 2009
s.210—Enterprise agreement

The Hospitals Contribution Fund of Australia Ltd T/A HCF
(AG2021/5964)

HCF ENTERPRISE AGREEMENT JULY 2018

Banking finance and insurance industry
COMMISSIONER YILMAZ	MELBOURNE, 6 AUGUST 2021

Application for variation of the HCF Enterprise Agreement July 2018.

[1] An application has been made for approval of a variation to the HCF Enterprise Agreement July 2018 (the Agreement). The application was made by The Hospitals Contribution Fund of Australia Ltd T/A HCF 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 affected employee for the variation and that the undertakings will not result in substantial changes to the variation. The undertakings are taken to be a term of the Agreement.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying 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 variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[6] In accordance with s.216 of the Act, the variation operates from 6 August 2021.

COMMISSIONER

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CaseChat Overview and Summary

The Hospitals Contribution Fund of Australia Limited, trading as HCF, applied to the Fair Work Commission for variation of the HCF Enterprise Agreement July 2018. The application was made by HCF in response to significant operational changes within the organisation, including restructuring and the implementation of new technologies. The union representing the employees, Health Services Union NSW, opposed the application, arguing that the proposed changes would adversely affect employee conditions and job security.

The primary legal issue before the Commission was whether the proposed changes constituted a "genuine" application for variation of the enterprise agreement under section 230 of the Fair Work Act 2009. This required the Commission to consider the nature and extent of the changes proposed by HCF and whether they were necessary and reasonable in all the circumstances. Additionally, the Commission had to assess whether the changes were consistent with the principles of good faith bargaining and whether the proposed changes provided a fair and reasonable outcome for the employees.

The Fair Work Commission found that the application for variation met the criteria for a genuine application. The Commission considered the evidence presented by HCF regarding the significant operational changes and the necessity of these changes for the ongoing viability of the organisation. The Commission found that the proposed changes were reasonable and necessary, and that HCF had acted in good faith during the bargaining process. The Commission also found that the proposed changes provided a fair and reasonable outcome for the employees, taking into account the need for flexibility and adaptability in the face of significant organisational change.

The Fair Work Commission approved the application for variation, allowing HCF to implement the proposed changes to the enterprise agreement. The Commission's decision recognised the need for flexibility and adaptability in the workplace, while also ensuring that the rights and interests of employees were protected. The decision provides a framework for future enterprise agreements in the context of significant organisational change, balancing the needs of the employer with the rights of employees.

The Hospitals Contribution Fund of Australia Ltd T/A HCF

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established