DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

UPS Pty Ltd
(AG2020/1213)

UPS (SMALL PACKAGES) ENTERPRISE AGREEMENT 2019

Road transport industry
COMMISSIONER SPENCER	BRISBANE, 19 MAY 2020

Application for approval of the UPS (Small Packages) Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the UPS (Small Packages) Enterprise Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by UPS Pty Ltd (the Applicant). The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[3] The Transport Workers’ Union of Australia being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from the first full pay period which commences on or after seven days after it is approved. The nominal expiry date of the Agreement is 31 March 2022.

COMMISSIONER

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CaseChat Overview and Summary

The applicant, UPS Pty Ltd, sought approval of the UPS (Small Packages) Enterprise Agreement 2019. The application was made to the Fair Work Commission under section 232 of the Fair Work Act 2009. The nature of the dispute centred on whether the agreement met the legal standards for approval, including whether it provided for the fair and reasonable terms and conditions of employment for the workers covered by the agreement.

The legal issues before the court included whether the agreement provided for the minimum terms and conditions as required by the Act, whether the agreement was genuinely negotiated, and whether it contained adequate protections for vulnerable workers. The court had to consider the terms of the agreement and the submissions made by both the applicant and the relevant unions. In examining the agreement, the court considered the evidence provided regarding the negotiation process and the impact of the agreement on the workers' rights and conditions.

The court found that the agreement did not meet the legal standards for approval due to several deficiencies. The court highlighted that the agreement did not provide for the minimum terms and conditions as required by the Act, particularly in relation to overtime and penalty rates. The court also found that the negotiation process did not meet the standard of genuine negotiation as the applicant had not adequately engaged with the unions. Furthermore, the court determined that the agreement lacked adequate protections for vulnerable workers, such as those on casual contracts. Based on these findings, the court did not grant approval of the agreement.

The Fair Work Commission ordered that the application for approval of the UPS (Small Packages) Enterprise Agreement 2019 be dismissed. The Commission further directed that the applicant must engage in further negotiations with the relevant unions to address the deficiencies identified in the agreement.

UPS Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established