Westpac Banking Corporation

[2015] FWCA 8016

[2015] FWCA 8016

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s 185 - Application for approval of a single-enterprise agreement

Westpac Banking Corporation
(AG2015/6078)

WESTPAC GROUP ENTERPRISE AGREEMENT 2016

Banking finance and insurance industry
DEPUTY PRESIDENT SAMS	SYDNEY, 24 NOVEMBER 2015

Application for approval of the Westpac Group Enterprise Agreement 2016.

[1] This is an application, pursuant to s 185 of the Fair Work Act 2009 (the ‘Act’), filed by Westpac Banking Corporation (the ‘applicant’) which seeks the approval of the Fair Work Commission (the ‘Commission’) of a single enterprise agreement to be known as the Westpac Group Enterprise Agreement 2016 (the ‘Agreement’). The Agreement was negotiated with the Finance Sector Union of Australia (the ‘Union’) and is to cover 30,343 employees of the following employers:

• Westpac Banking Corporation;



• Asgard Wealth Solutions Limited;



• BT Financial Group Pty Limited;



• Westpac Financial Consultants Limited; and



• Westpac General Insurance Services Limited.

However, the Agreement does not cover employees working on Christmas Island, seconded to work outside of Australia or who are in the role of Chief Executive Officer, Group Executive, Chief Financial Officer, Chief Information Officer, Chief Operating Officer, Enterprise Executive, General Manager or equivalent roles. For the purposes of s 186(3) of the Act, I am satisfied that the group of employees to be covered by this Agreement has been fairly chosen.

[2] The employees were last notified of their representational rights on 18 May 2015 and voting for the Agreement’s approval took place between 23 and 29 October 2015. The time limits under s 181(2) of the Act are thereby satisfied. In a vote conducted online and by telephone by a third party, 14,931 of the 16,011 employees who cast a valid vote, agreed to approve the Agreement. The application for approval of the Agreement was lodged on 6 November 2015, thereby satisfying s 185(3) of the Act.

[3] In the Employer’s Declaration in support of the application (Form F17) Mr M Johnston, identified the Banking, Finance and Insurance Award 2010 [MA000019] (the ‘Award’) as the relevant reference instrument for the purposes of the Better Off Overall Test (the ‘BOOT’). Mr Johnstonsaid that the Agreement provides for some terms that are less beneficial than those under the Award, including changes to notice of termination and a lack of entitlement to overtime for part-time employees directed to work additional hours for training. However, the Agreement provides for a wide range of terms and conditions that are more beneficial than those under the Award, including significantly higher rates of pay, arrangements for ‘flexible lifestyle leave’, an additional paid day for ‘lifestyle and wellbeing’ purposes and an additional day’s leave to be taken between 8 April 2017 and 7 April 2018 to celebrate Westpac Group’s birthday. I am well satisfied that the Agreement passes the BOOT. The Agreement provides for the mandatory flexibility and consultation terms at clauses 20 and 44 respectively, and a disputes resolution procedure at clause 43 provides for conciliation by the Commission and arbitration by an independent third party, which could include the Commission.

[4] At a hearing of the application on 20 November 2015, Ms H Eager, Solicitorappeared with Mr M Johnston for the applicant and J Nava for the Union. Ms Eager outlined the main features of the Agreement and submitted that all of the legislative requirements for approval of the Agreement have been satisfied and the Agreement should be approved by the Commission. Ms Eager explained that the Agreement represented a change to a previous set of increases based on performance rating. Subject to achieving behavioural, training and other criteria, base rates of pay are to be increased by fixed percentages on 1 January 2016, 2017 and 2018 in accordance with the table set out at cl 5.3 of the Agreement. Ms Nava supported the submissions of Ms Eager. The Union had filed a Declaration in relation to the application (Form 18) supporting the approval of the Agreement and giving notice that it wishes to be covered by the Agreement (s 183). For the purposes of s 201(2) of the Act, I note that the Union is to be covered by the Agreement.

[5] Having heard the parties’ submissions and upon reviewing the terms of the preapproval process documentation and the Agreement itself, I am satisfied that all of the requirements of the Act, in particular ss 180, 186, 187 and 188, in so far as relevant to this application, have been met. Accordingly, I approve a single enterprise agreement known as the Westpac Group Enterprise Agreement 2016.Pursuant to s 54 of the Act, the Agreement shall operate from 1 January 2016 and have a nominal expiry date of 31 December 2018.

DEPUTY PRESIDENT

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