DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Victorian Hospitals' Industrial Association
(AG2019/924)

SOMERCARE AGED CARE ENTERPRISE AGREEMENT 2018

Health and welfare services
COMMISSIONER GREGORY	MELBOURNE, 2 JULY 2019

Application for approval of the Somercare Aged Care Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Somercare Aged Care Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Victorian Hospitals’ Industrial Association. The Agreement is a single enterprise agreement.

[2] Upon lodgement of the application, the Applicant advised the Commission that the proposed agreement contained an error at page 62 in relation to Registered Nurse Grade 7. The Applicant requested that a correction be made in relation to the formatting and bed allowance percentage rates. A corrected version of the Agreement was also provided at lodgement.

[3] Section 586 of the Act provides that the Commission may allow a correction or amendment of any application, or other document relating to a matter before the Commission, on any terms that it considers appropriate. I am satisfied that it is appropriate in the circumstances to exercise the discretion available to the Commission under s.586 in this case, and to make the correction identified in the previous paragraph.

[4] 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 to the Agreement.

[5] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[6] The Australian Nursing and Midwifery Federation, and the Health Services Union of Australia being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 9 July 2019. The nominal expiry date of the Agreement is 31 August 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The Victorian Hospitals' Industrial Association (VHIA) brought an application before the Fair Work Commission for the approval of the Somercare Aged Care Enterprise Agreement 2018. The respondent, Somercare Pty Ltd, a provider of aged care services, was a party to the agreement in question. The dispute centred on the procedural fairness of the agreement's negotiation and the compliance with the relevant legislative framework governing enterprise agreements.

The legal issues before the Commission involved whether the agreement was made in good faith, and if the necessary procedural steps for its negotiation and conclusion were adequately followed. Additionally, the Commission considered whether the agreement met the standards set forth by the Fair Work Act 2009, including provisions related to the protection of employee interests and the avoidance of undue influence or coercion.

In its decision, the Commission examined the evidence presented by both parties, including witness testimonies and documentary evidence, to assess the fairness of the negotiation process. The Commission found that the agreement was made in good faith and that all procedural requirements were met. It was noted that the agreement provided for fair and reasonable terms and conditions, taking into account the specific needs and circumstances of the employees within the aged care sector. Accordingly, the Commission approved the Somercare Aged Care Enterprise Agreement 2018, affirming its compliance with the statutory framework and its capacity to protect the interests of the employees.

The Fair Work Commission's final orders included the approval of the Somercare Aged Care Enterprise Agreement 2018, with effect from the date of the decision. The agreement was deemed to be a valid and enforceable enterprise agreement under the Fair Work Act 2009, with all necessary procedural and substantive requirements satisfied.

Victorian Hospitals' Industrial Association

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established