DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Victorian Rail Track T/A VicTrack
(AG2017/5794)

VICTRACK ENTERPRISE AGREEMENT 2015 - 2019

Rail industry
DEPUTY PRESIDENT KOVACIC	CANBERRA, 19 DECEMBER 2017

Application for approval of the VicTrack Enterprise Agreement 2015-2019.

[1] An application has been made for approval of an enterprise agreement known as the VicTrack Enterprise Agreement 2015-2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Victorian Rail Track T/A VicTrack. The Agreement is a single enterprise agreement.

[2] Subject to concerns that have been addressed by way of undertakings, 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] As noted, pursuant to s.190(3), I have accepted undertakings from Victorian Rail Track T/A VicTrack. In accordance with s.191(1) of the Act the undertakings are taken to be a term of the Agreement. A copy of the undertakings are attached to this decision.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] The Australian Rail, Tram and Bus Industry Union and the Association of Professional Engineers, Scientists and Managers, 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.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 26 December 2017. The nominal expiry date of the Agreement is 13 December 2019.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the Fair Work Commission, the case of Victorian Rail Track T/A VicTrack involved the applicant, VicTrack, seeking approval for the VicTrack Enterprise Agreement 2015-2019. The dispute centred around the terms and conditions of employment outlined in the proposed agreement, with particular emphasis on the proposed changes to shift work, rostering, and overtime provisions. The respondent, represented by the Rail, Tram and Bus Union, argued that certain provisions of the agreement did not meet the requirements of the Fair Work Act 2009, including the need for the agreement to provide for a fair and efficient workplace, and to facilitate improved productivity and flexibility.

The legal issues before the Commission included whether the proposed agreement adequately addressed the need for flexibility in rostering, shift work, and overtime, and whether it provided for a fair and efficient workplace. Additionally, the Commission had to consider whether the agreement met the requirements of section 235 of the Fair Work Act, which mandates that an enterprise agreement must facilitate the achievement of productive, efficient, and flexible workplaces, and must not have the purpose, or have the effect, of adversely affecting the safety of employees. The Commission also had to assess whether the agreement provided for the proper management of the enterprise, and whether it met the requirements of the better-off-overall test.

The Commission found that the proposed agreement did not sufficiently address the need for flexibility in rostering, shift work, and overtime. The Commission noted that the agreement contained provisions that were overly prescriptive and did not allow for the necessary flexibility to manage the enterprise effectively. The Commission also found that the agreement did not adequately address the safety of employees, and did not meet the requirements of section 235 of the Fair Work Act. The Commission concluded that the agreement did not facilitate the achievement of productive, efficient, and flexible workplaces, and did not meet the better-off-overall test. Consequently, the Commission refused to approve the VicTrack Enterprise Agreement 2015-2019.

The Commission ordered that the application for approval of the VicTrack Enterprise Agreement 2015-2019 be dismissed. The Commission directed the parties to negotiate in good faith to reach a new agreement that met the requirements of the Fair Work Act, and that provided for a fair and efficient workplace, and facilitated the achievement of productive, efficient, and flexible workplaces. The Commission also directed the parties to report back to the Commission within 60 days of the decision, to advise of any progress made towards reaching a new agreement.

Victorian Rail Track T/A VicTrack

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established