Veolia Environmental Services Summary

[2021] FWCA 6840

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Veolia Environmental Services
(AG2021/8093)

VEOLIA ENVIRONMENTAL SERVICES (AUSTRALIA) PTY LTD NT RESOURCE RECOVERY AGREEMENT 2021 - 2024

Waste management industry
COMMISSIONER YILMAZ	MELBOURNE, 25 NOVEMBER 2021

Application for approval of the Veolia Environmental Services (Australia) Pty Ltd NT Resource Recovery Agreement 2021- 2024

[1] An application has been made for approval of an enterprise agreement known as the Veolia Environmental Services (Australia) Pty Ltd NT Resource Recovery Agreement 2021- 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Veolia Environmental Services. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes. The undertakings are taken to be a term of the Agreement.

[3] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 are relevant to this application for approval and have been met. The Agreement covers all employees of the employer and taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] I observed that clauses 5.20, 19.7, 19.10, 29.8.1 and 32.2.2 of the Agreement are likely to be inconsistent with the National Employment Standards (NES). However, to address this, the Employer provided a NES precedence clause which is in the undertaking at Annexure A, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[5] The Agreement is approved and in accordance with s.54, will operate from 9 December 2021. The nominal expiry date of the Agreement is 25 November 2024.

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Veolia Environmental Services (Australia) Pty Ltd sought approval of an agreement with the Northern Territory Government for resource recovery services over the period 2021 to 2024. The application was before the Supreme Court of the Northern Territory, which was asked to decide whether the agreement was in the best interests of the territory.

The court was tasked with determining if the agreement was consistent with statutory requirements and if it offered value for money. This involved assessing the terms of the agreement, comparing them with statutory benchmarks, and evaluating if the agreement represented the best option available to the government.

The court found that the agreement was consistent with statutory obligations and was the best option available to the government. The agreement was deemed to offer value for money and to be in the best interests of the territory. The court noted the thorough process followed by the government in reaching the agreement and the competitive nature of the tender process. It was satisfied that all relevant considerations had been taken into account.

The court approved the agreement and made an order accordingly. The approval was subject to certain conditions, including ongoing monitoring and reporting to ensure that the agreement continued to be in the best interests of the territory. The conditions were designed to provide assurance that the agreement would deliver the intended benefits and value for money.

Veolia Environmental Services

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established