CRU Commences Consultation with Members over Fair Work Commission Recommendation

• The parties reached an impasse which could only be resolved by applying to the Fair Work Commission for an order in relation to the number of agreements. This is called a scope order.

• The CRU has prepared an application for a scope order which sought one agreement.

• It was anticipated that the Rail Entities will prepare their own application for a scope order which sought five agreements.

• If the Commission is asked to determine these applications, it is likely that it will make an order for either one agreement or five agreements, rather than something in between.

• Both the Rail Entities and CRU have argued their cases in support of their respective positions. It is therefore impossible to predict the outcome of the scope order.

• If the parties don’t accept the recommendation of the Commission for two Agreements:

• The only option is to ask the Commission to make a scope order;

• There is a risk that the outcome of the scope order is five agreements.

• 3.    s.240 Bargaining Dispute lodged by the rail entities in the Fair Work Commission (FWC)

Before action for a scope order had commenced the rail entities lodge a dispute with the FWC (s.240 Application for the FWC to deal with a bargaining dispute) asking it to “…deal with a dispute about the agreement if the [parties] for the agreement are unable to resolve the dispute”.  As a result of this there were four days of conciliation meetings on 11, 12, 18 & 19 March 2014.

As part of the outcome of conciliation the following wording has been agreed by the parties to give certainty to the conditions of employment for all employees once the current EA expires on 31 March 2014:

“The parties agree to continue applying all clauses, including those expressed to be “for the life of the agreement,” beyond 31 March 2014 as provided for by the Fair Work Act.”

4.    Recommendation provided to the parties by the FWC on the number of agreements

The meeting was also briefed on the recommendation provided by Commissioner Cargill which recommended that the negotiations between the parties should be for two agreements (See attached).

5.    Voting on whether to accept the FWC recommendation

The CRU has advised the Commission and the rail entities it cannot accept the recommendation prior to consulting with the membership and getting their endorsement.  As a result, the following process has been organised by the CRU:

CRU delegate’s briefing at Unions NSW on Tuesday, 25 March 2014 to consider the recommendation and the following resolution:

The resolution was overwhelmingly endorsed by the meeting of CRU delegates.

Next Steps

Copy of Recommendation issued by the Fair Work Commission

TIMES FOR MARCH 2014 MEMBERS MEETINGS