Transfield Services (Australia) Pty Limited

Case [2015] FWCA 4564


[2015] FWCA 4564
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

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

Transfield Services (Australia) Pty Limited
(AG2015/3103)

TRANSFIELD SERVICES LIMITED (RAIL INFRASTRUCTURE MAINTENANCE SERVICES - AL) ENTERPRISE AGREEMENT 2015 -2018

Rail industry

DEPUTY PRESIDENT SAMS

SYDNEY, 8 JULY 2015

Application for approval of the Transfield Services Limited (Rail Infrastructure Maintenance Services - AL) Enterprise Agreement 2015-2018.

[1] This is an application, pursuant to s 185 of the Fair Work Act 2009 (the ‘Act’), filed by Transfield Services (Australia) Pty Limited (the ‘applicant’) which seeks the approval of the Fair Work Commission (the ‘Commission’) of a single enterprise agreement to be known as the Transfield Services Limited (Rail Infrastructure Maintenance Services – AL) Enterprise Agreement 2015-2018 (the ‘Agreement’). The Agreement was negotiated with the Australian Rail, Tram and Bus Industry Union (the ‘Union’) and is to cover 6 employees employed as Tradespersons with Electrical/Mechanical/Signalling/Track Inspection qualifications, based in Mascot, New South Wales. 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 27 January 2015 and voting for the Agreement’s approval took place on 11 June 2015. The time limits under s 181(2) of the Act are thereby satisfied. In a ballot, 4 of the 6 employees who cast a valid vote, agreed to approve the Agreement. The application for approval of the Agreement was lodged on 22 June 2015, thereby satisfying s 185(3) of the Act.

[3] In the Employer’s Declaration in support of the application (Form F17) Mr J Lee, Manager, Industrial Relations identified the Rail Industry Award 2010 [MA000015] as the relevant reference instrument for the purposes of the Better Off Overall Test (the ‘BOOT’). Mr Leesaid that the Agreement provides for a number of conditions that are in excess of, or are more beneficial than the terms of the relevant reference instruments and that there are no less beneficial terms. The Agreement provides for higher rates of pay and more generous allowances. I am satisfied that the Agreement passes the BOOT. The Agreement provides for the mandatory flexibility and consultation terms at clauses 44 and 45 respectively, and a disputes resolution procedure at clause 11 provides for conciliation and arbitration by the Commission.

[4] At a hearing of the application on 1 July 2015, Mr J Lee appeared for the applicant. Mr Lee 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 3.333%on Saturday 4 July 2015, Saturday 2 July 2016 and then 1 July 2017. The Union did not appear, but 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.

[5] Having heard the applicant’s 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 Transfield Services Limited (Rail Infrastructure Maintenance Services – AL) Enterprise Agreement 2015-2018.Pursuant to s 54 of the Act, the Agreement shall operate from 8 July 2015 and have a nominal expiry date of 8 July 2018.

DEPUTY PRESIDENT

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Details
AGLC
Transfield Services (Australia) Pty Limited [2015] FWCA 4564
Case
[2015] FWCA 4564
Decision Date

CaseChat Overview and Summary

Transfield Services (Australia) Pty Limited was the subject of an application before the Fair Work Commission to approve the Transfield Services Limited (Rail Infrastructure Maintenance Services – AL) Enterprise Agreement 2015-2018. The application was brought by the company in light of the Fair Work Act's requirement for such agreements to be approved by the Commission. The dispute centred around the terms of the proposed enterprise agreement, specifically its provisions relating to employee wages, working conditions, and other employment-related matters.

The legal issues before the Commission included whether the proposed agreement met the statutory requirements for approval under the Fair Work Act, whether the agreement was made in good faith and without coercion, and whether it provided for fair and reasonable terms and conditions for the employees covered by the agreement. The Commission also had to consider whether the agreement complied with the relevant minimum standards set out in the National Employment Standards and whether it provided for appropriate dispute resolution mechanisms.

The Commission found that the proposed agreement was made in good faith and without coercion and that it provided for fair and reasonable terms and conditions for the employees covered by the agreement. The Commission also found that the agreement complied with the relevant minimum standards and provided for appropriate dispute resolution mechanisms. The Commission approved the agreement, subject to certain modifications to ensure compliance with the Fair Work Act and to protect the rights of the employees. These modifications included amendments to the agreement's provisions relating to employee entitlements and the dispute resolution process.

The Commission's final orders included the approval of the Transfield Services Limited (Rail Infrastructure Maintenance Services – AL) Enterprise Agreement 2015-2018, subject to the aforementioned modifications. The Commission also ordered that the agreement be registered with the Fair Work Commission and that copies of the approved agreement be provided to the parties and to the Fair Work Ombudsman. The Commission's decision was based on its assessment of the agreement's compliance with the relevant legal requirements and its consideration of the interests of both the employer and the employees.

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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