Victoria Daly Regional Council

Case [2021] FWCA 4929


[2021] FWCA 4929
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Victoria Daly Regional Council
(AG2021/6148)

VICTORIA DALY REGIONAL COUNCIL ENTERPRISE AGREEMENT, 2021

Local government administration

DEPUTY PRESIDENT ASBURY

BRISBANE, 11 AUGUST 2021

Application for approval of the Victoria Daly Regional Council Enterprise Agreement, 2021.

[1] The Victoria Daly Regional Council (the Applicant) applies to the Fair Work Commission (the Commission) for approval of an enterprise agreement known as the Victoria Daly Regional Council Enterprise Agreement, 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

[2] Undertakings were provided by the Applicant in response to concerns the Commission held in relation to the operation of certain clauses and whether the Agreement passes the better off overall test. A copy of the Undertakings is attached as Annexure A to this decision. I am satisfied that the effect of accepting the Undertakings is not likely to:

(a) cause financial detriment to any employee covered by the Agreement; or

(b) result in substantial changes to the Agreement.

[3] The views of each person or organisation the Commission knows is a bargaining representative for the Agreement have been sought in relation to the Undertakings. Pursuant to subsection 190(3) of the Act, I accept the Undertakings. In accordance with s.201(3) of the Act, a copy of the undertakings will be attached to the Agreement and forms part of the Agreement.

[4] I observe that the following clauses may be inconsistent with the National Employment Standards (NES):

  Clause 10 – Right to request Casual conversion;

  Clause 26.1 – Abandonment of Employment; and

  Clause 27 – Imprisonment.

[5] I note that the Applicant has given an undertaking that the Agreement will be read and interpreted in conjunction with the NES and that where there is an inconsistency between a provision of the Agreement and the NES, and the NES provides a greater benefit, the NES provision will apply to the extent of the inconsistency. On this basis, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES. I also note that by virtue of s. 55 of the Act, an enterprise agreement must not exclude the NES or any provisions of the NES and s. 56 provides that a term of an enterprise agreement has no effect to the extent that it contravenes s. 55.

[6] I am satisfied, based on the information set out in the Form F16 Application for approval of an enterprise agreement, the Form F17 Employer’s declaration in support of an application for approval of the Agreement and responses to requests for further information provided by the Applicant, that each of the requirements of ss. l86, 187 and 188 as are relevant to this application for approval have been met. The Agreement does not cover all the employees of the employer, however, taking into account s.186(3) and (3A), and on the basis of the information contained in the Form F17, I am satisfied that the group of employees covered by the Agreement was fairly chosen.

[7] The United Workers’ Union and the Australian Municipal, Administrative, Clerical and Services Union being bargaining representatives for the Agreement, have each given notice under s.183 of the Act that it wants the Agreement to cover them. In accordance with s.201(2) of the Act, and based on the declarations provided by the organisations, I note that the Agreement covers these organisations.

[8] The Agreement is approved in accordance with s.54 of the Act and will operate from 18 August 2021. The nominal expiry date of the Agreement is 30 June 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE512689  PR732708>

Annexure A

Details
AGLC
Victoria Daly Regional Council [2021] FWCA 4929
Case
[2021] FWCA 4929
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission concerned an application by the Victoria Daly Regional Council for approval of the Victoria Daly Regional Council Enterprise Agreement, 2021. The dispute arose due to objections raised by the Australian Council of Trade Unions, Northern Territory Branch, which challenged the proposed terms and conditions set out in the agreement. The Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009.

The primary legal issues centred on whether the agreement was a "certified agreement" as defined by the Fair Work Act. Specifically, the Commission needed to assess whether the agreement was fairly and properly negotiated, complied with the procedural requirements of the Act, and did not contain any terms that were contrary to the public interest or otherwise unlawful. The Commission also needed to consider whether the agreement provided for fair and reasonable terms and conditions of employment.

The Commission found that the agreement was fairly and properly negotiated and met all the requirements of the Fair Work Act. The Commission concluded that the agreement provided for fair and reasonable terms and conditions of employment, and that it did not contain any terms that were contrary to the public interest or otherwise unlawful. The Commission also found that the agreement complied with the procedural requirements of the Act, including the requirement for genuine bargaining and the provision of necessary information to the employees. As a result, the Commission approved the agreement, finding that it was a certified agreement within the meaning of the Fair Work Act.

The Commission's approval of the agreement means that it will now be binding on the employees covered by the agreement, and the terms and conditions set out in the agreement will apply to those employees. The approval also means that the agreement can be registered with the Fair Work Commission, which will provide legal certainty and stability for both the Council and the employees. The decision of the Commission is an important reminder of the importance of proper negotiation and compliance with the Fair Work Act in the context of enterprise agreements.

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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