Application by Australian Nursing and Midwifery Federation (145V)
What happened
The Applicant applied to the Fair Work Commission seeking an order regarding partial work bans at seven hospitals operated by Healthscope Operations Pty Ltd. The Applicant's members were planning industrial action, including bans on certain tasks not directly related to patient care and data entry/paperwork completion. The Respondent issued notices under section 471 of the Fair Work Act reducing employee payments if they participated in the bans. Errors were discovered in these notices, so new notices were issued. The Commission heard evidence from union representatives, nurses, midwives, and Healthscope employees.
What was decided
The Fair Work Commission considered whether the notices issued by the Respondent under s.471 of the Fair Work Act were valid and if the proportions specified for payment reduction were fair and reasonable. While the Applicant argued the notices were invalid or unfair, the Commission varied the proportions by which employee payments would be reduced. The decision focused on the reasonableness of calculations under Regulation 3.21 of the Fair Work Regulations 2009 and fairness between the parties.
What it means for employers
Employers issuing notices regarding payment reductions during industrial action must ensure accuracy in their calculations and proportions. Failing to do so can lead to the Commission varying those proportions, potentially impacting operational planning and costs associated with industrial action.
What it means for employees
Employees participating in protected industrial action should be aware that employers may issue notices reducing payments. If there are concerns about the validity or fairness of these notices, employees have recourse through the Fair Work Commission to seek a review and potential variation of the payment reduction proportions.
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