Construction, Forestry and Maritime Employees Union v Sydney International Container Terminals Pty Ltd [2024] FCA 490

Construction, Forestry and Maritime Employees Union v Sydney International Container Terminals Pty Ltd [2024] FCA 490

Properly construed as a whole, the 2015 Agreement did not clearly abrogate the common law principle that wages are conditional on work or at least readiness and willingness to work. Employees who had reached the 1501 or 1560 annual hours threshold remained obliged to work allocated shifts, and were entitled to the full 30 hours at the Level 1 ordinary rate only if they performed allocated work or were at least ready and willing to perform it. Because the employees failed or refused to work during protected industrial action, s 470(1) prohibited the Employers from paying the Level 1 ordinary rate for those periods and s 471(4) authorised withholding those payments. The Employers therefore...

Jurisdiction
Australia
Judgment Date
15 May 2024
Procedural Posture
Industrial Law Proceeding Alleging Contraventions of Ss 50 and 323 of the Fair Work Act 2009 (cth) / Final Judgment
Outcome
Application dismissed; no contraventions of ss 50 or 323 of the Fair Work Act 2009 (Cth) established.
Legal Topics
['enterprise Agreement Interpretation' 'protected Industrial Action' 'payments During Industrial Action' 'wage Payments and Deductions' 'fair Work Act 2009 (cth) Ss 50, 323, 470 and 471']
['industrial Law' 'employment and Industrial Relations'] ['enterprise Agreement Interpretation' 'protected Industrial Action' 'payments During Industrial Action' 'wage Payments and Deductions' 'fair Work Act 2009 (cth) Ss 50, 323, 470 and 471']

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Procedural Posture

Industrial Law Proceeding Alleging Contraventions of Ss 50 and 323 of the Fair Work Act 2009 (cth) / Final Judgment

Legal Issues

  1. 1 ['Whether the Employers contravened ss 50 and 323 of the Fair Work Act 2009 (Cth) by refusing to pay employees eight hours at the Level 1 ordinary rate for shifts not worked during protected industrial action.' 'Whether Roster Rule 4 of the 2015 Agreement entitled employees who had worked 1501 or 1560 annual hours to be paid 30 hours per week at the Level 1 ordinary rate regardless of whether they performed work or were ready and willing to perform work.' 'Whether ss 470(1) and 471(4) of the Fair Work Act 2009 (Cth) prohibited or authorised the refusal to make payments for the periods of protected industrial action.']

Ratio Decidendi

Properly construed as a whole, the 2015 Agreement did not clearly abrogate the common law principle that wages are conditional on work or at least readiness and willingness to work. Employees who had reached the 1501 or 1560 annual hours threshold remained obliged to work allocated shifts, and were entitled to the full 30 hours at the Level 1 ordinary rate only if they performed allocated work or were at least ready and willing to perform it. Because the employees failed or refused to work during protected industrial action, s 470(1) prohibited the Employers from paying the Level 1 ordinary rate for those periods and s 471(4) authorised withholding those payments. The Employers therefore...

Court Disposition

Application dismissed; no contraventions of ss 50 or 323 of the Fair Work Act 2009 (Cth) established.

Orders

  • ['The proceeding be dismissed.' 'There be no order as to costs.']