CPSU, the Community and Public Sector Union v Commonwealth of Australia
Citation: [2019] FCA 975
What happened
Members of the CPSU took protected industrial action in the form of work bans (partial work bans) and work stoppages between June 2015 and March 2016 while employed by the Australian Customs and Border Protection Service. The employees received a 'Sea-going Commuted Allowance' of 60-63% of annual salary in recognition of special maritime duties. The employer reduced or withheld these allowances during periods of protected industrial action.
What was decided
Justice O'Callaghan dismissed the CPSU's application. The Court found that sections 470 and 471 of the Fair Work Act did not require the employer to continue paying the allowance during protected industrial action. The allowance could be reduced or withheld as the employer was entitled not to make payments during such periods.
What it means for employers
Employers may apply payment reductions during protected industrial action in accordance with ss 470 and 471 of the Fair Work Act. Allowances may be treated similarly to ordinary wages in this context.
What it means for employees
Employees taking protected industrial action may have allowances reduced or withheld during strike periods in accordance with Fair Work Act provisions. This applies to special allowances as well as ordinary wages.
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https://www.judgments.fedcourt.gov.au/judgments/Judgments/fca/single/2019/2019fca0975Want more cases like this?
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This summary was drafted from the published decision and reviewed before publishing. It is general information, not legal advice. For your specific situation, speak to the Fair Work Ombudsman (13 13 94) or a qualified lawyer. About these summaries & corrections →