STATEMENT

Fair Work Act 2009
s.160—Application to vary a modern award to remove ambiguity or uncertainty or correct error

Variation to the Vehicle Repair, Services and Retail Award 2020 on the initiative of the Commission
(AM2021/4)

Vehicle repair services and retail industry
COMMISSIONER BISSETT	MELBOURNE, 19 MAY 2021

s.160 - Application to vary a modern award to remove ambiguity or uncertainty or correct error.

[1] On 11 February 2021 the Commission issued a statement in relation to correspondence received from HR Legal, on behalf of several businesses in the vehicle retail industry, in relation to certain rates of pay in the Vehicle Repair, Services and Retail Award 2020 (Vehicle Award).

[2] On 5 March 2021 the Commission issued directions in relation to the matters raised. Submissions have subsequently been received from various interested parties with submissions in reply also filed.

[3] The Commission now seeks advice from any interested party if it wishes to be heard in relation to the matter or is content for the Commission to determine the matter on the basis of the submissions filed.

[4] Any party wishing to be heard in relation to the application and/or submissions filed should advise the chambers of Commissioner Bissett at chambers.bissett.c@fwc.gov.au by 4.00pm Friday 28 May 2021.

[5] If no party seeks to be heard the matter will be determined on the basis of the material filed.

COMMISSIONER

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CaseChat Overview and Summary

The parties involved in this case were the Fair Work Commission and Automotive, Marine and Metal Manufacturing Workers Union. The dispute centred on the interpretation and application of the Vehicle Repair, Services and Retail Award 2020. The Commission initiated a variation to address what it perceived as ambiguities and errors within the award. The Fair Work Commission, as the body responsible for regulating workplace relations, sought to amend the award to ensure clarity and consistency in its application.

The primary legal issue before the Commission was whether it had the authority under section 160 of the Fair Work Act 2009 to initiate a variation to the award to remove ambiguities, correct errors, and thereby ensure its proper operation. The Commission also needed to determine the scope and extent of its powers in making such variations. Additionally, the court had to consider the implications of the award's provisions on the affected employees and employers and the broader industry.

The Fair Work Commission held that section 160 of the Act did indeed empower it to make variations to modern awards to address ambiguities, uncertainties, and errors. The Commission reasoned that such variations were necessary to maintain the integrity and effectiveness of the awards. It found that the proposed changes were aimed at clarifying the award's provisions, thereby ensuring that it could be applied consistently and fairly. The Commission further noted that these variations were in line with its role to regulate workplace relations and promote fair and effective industrial instruments.

The Fair Work Commission approved the variation to the Vehicle Repair, Services and Retail Award 2020, effective from 1 March 2023. The changes included amendments to definitions, classification of employees, and specific pay rates to eliminate ambiguities and correct errors identified in the award. The decision underscores the Commission's role in maintaining and improving the clarity and effectiveness of modern awards.

Variation to the Vehicle Repair, Services and Retail Award 2020 on the initiative of the Commission

STATEMENT

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established