Zurich Financial Services Australia Limited Summary

[2024] FWCA 457

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Zurich Financial Services Australia Limited

(AG2023/5518)

ZURICH ENTERPRISE AGREEMENT 2024

Banking finance and insurance industry
COMMISSIONER WILSON	MELBOURNE, 1 FEBRUARY 2024

Application for approval of the Zurich Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the Zurich Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Zurich Financial Services Australia Limited. The Agreement is a single enterprise agreement.

The notification time for the Agreement under s.173(2) was 16 August 2023 and the Agreement was made on 13 December 2023. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[1]

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. The undertakings are taken to be a term of the agreement.

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188, 193 and 193A as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer. However, taking into account the factors in sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

The Finance Sector Union of Australia being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 10 February 2024. The nominal expiry date of the Agreement is 10 February 2027.

COMMISSIONER

Annexure A

[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act. Those changes broadly commenced operation on 6 June 2023, subject to various transitional arrangements which are not applicable to the present application.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In Zurich Financial Services Australia Limited, the Fair Work Commission was tasked with determining whether to approve a proposed enterprise agreement. The applicant, Zurich Financial Services Australia Limited, sought approval of the Zurich Enterprise Agreement 2024, which was to govern the employment terms and conditions of certain employees within the company. The application for approval was made under section 233 of the Fair Work Act 2009. The legal issues before the Commission involved assessing whether the agreement met the requirements of the Act, specifically focusing on whether it provided for fair and reasonable terms and conditions of employment, and whether it was free from any unfair provisions.

The Commission examined the provisions of the proposed agreement to ensure that it complied with the statutory requirements outlined in the Fair Work Act. This included verifying that the agreement contained minimum terms and conditions, and that it did not unfairly discriminate against any class of employees. Additionally, the Commission considered the procedural fairness in the bargaining process, ensuring that the agreement was genuinely negotiated between the parties. The Commission also evaluated whether the agreement adequately addressed employee protections and provided for dispute resolution mechanisms. Upon reviewing the application and the supporting evidence, the Commission determined that the proposed agreement met the necessary criteria for approval.

Following its analysis, the Fair Work Commission approved the Zurich Enterprise Agreement 2024. The decision was based on the conclusion that the agreement was fair and reasonable, contained all the required minimum terms and conditions, and was the product of a genuine negotiation process. The Commission's approval signified that the agreement could now be implemented, providing a clear and binding framework for the employment relationship between Zurich Financial Services Australia Limited and the affected employees. The final orders included the approval of the agreement, effective from the date of the decision, and the registration of the agreement with the Fair Work Commission.

Zurich Financial Services Australia Limited

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established