STATEMENT

Fair Work Act 2009
s.157 - FWC may vary etc. modern awards if necessary to achieve modern awards objective

Application to vary the Vehicle Repair, Services and Retail Award 2020
(AM2020/37)

Application to vary modern award to achieve the modern awards objective.

[1] On 11 May 2020 we issued a Decision 1 granting a joint application by the Victorian Automobile Chamber of Commerce (VACC), the Motor Trade Association of South Australia Inc, the Motor Traders Association of New South Wales, the Motor Trades Association of Queensland Industrial Organisation of Employers and Ai Group to insert a new schedule, Schedule J—Award flexibility during the COVID-19 Pandemic, into the Vehicle Repair, Services and Retail Award 2020 (the Vehicle Award). The new schedule came into operation on 11 May 2020 and was to cease operation on 30 June 2020, unless extended.

[2] This Statement concerns an application to vary the Vehicle Award² filed by Victorian Automobile Chamber of Commerce, the Motor Trade Association of South Australia Incorporated, the Motor Traders Association of New South Wales and the Motor Trades Association of Queensland Industrial Organisation of Employers (collectively, the Applicants). The application was supported by ACCI and the Australian Automotive Dealer Association (the AADA).

[3] The Applicants, ACCI and AADA have had discussions with the relevant union parties and the ACTU. There is no objection to the application from any relevant union party.

[4] The application seeks to extend the operation of some of the clauses contained in Schedule I for a limited period, until 31 July 2020. It does not seek the continued operation of clause I.2 (Classifications and Duties) or clause I.5 (Close-down), due to low utilisation of these clauses in the Industry.

[5] The draft determination seeks to retain the flexibilities contained within clauses I.3 (Temporary reduction of hours) and I.4 (Annual leave), with the following limitations on their use:

(a) clause I.3 can only be used by those businesses which have already utilised it and implemented a temporary reduction in hours prior to 30 June 2020, with the existing limitations in the Schedule continuing; and

(b) existing protections in clause I.6 remain.

[6] Commission staff have prepared an information note on the impact of COVID-19 on employees and employers likely to be covered by the Vehicle Award and a snapshot of the recent effects of the pandemic on vehicle sales.

[7] It is our provisional view, taking into account the relevant s.134 considerations, that the variation proposed is necessary to achieve the modern awards objective.

[8] Any submission supporting or opposing the Application and our provisional view must be filed by 4pm on Monday 29 June 2020. Submissions should be:

•  sent to [email protected] and include the matter number in the subject line; and

•  filed in word format.

[9] If no submissions are filed opposing the Application and our provisional view we will grant the Application and vary the Vehicle Award accordingly.

[10] If any submissions are filed opposing the Application and our provisional views, then a hearing will take place at 11am on Tuesday, 30 June 2020 by telephone.

[11] Any party who wishes to attend the hearing in relation to this matter should send an email to [email protected] specifying a name and contact telephone number by 4pm on Monday, 29 June 2020.

[12] In the event that no submissions are filed opposing our provisional view, then the hearing proposed for 11am on Tuesday, 30 June 2020 will not be necessary.

PRESIDENT

Printed by authority of the Commonwealth Government Printer

<PR720551>

 1   [2020] FWCFB 2367.

2 We note that on 12 June 2020, what was previously the Vehicle Repair, Manufacturing, Services and Retail Award 2010 was varied to become the Vehicle Repair, Services and Retail Award 2020. Vehicle Manufacturing employees are now covered by the Manufacturing and Associated Industries and Occupations Award 2020.