[2021] FWC 4696
General information, not legal advice.
Fair Work Commission
2021-08-02
Original judgment source is linked above.
The attached document replaces the document previously issued with the above code on 2 August 2021.
The wording and numbering of paragraph 31 and 41 is amended as follows:
[31] In my opinion, the answer to the Question is "(b)". Fractional doctor 'A' is only entitled to take long service under clause 55 of the Agreement from Employer 'X'.
[40] Accordingly, in my opinion the answer to the Question is "(b)". Fractional doctor 'A' is only entitled to take long service under clause 55 of the Agreement from Employer 'X'.
[2021] FWC 4696 [Note: An appeal pursuant to s.604 (C2021/4894) was lodged against this decision - refer to Full Bench decision dated 10 November 2021 [ [2021] FWCFB 6044].]
s.739 - Dispute resolution
AMA (Victoria) Ltd T/A AMA; Australian Salaried Medical Officers Federation
Fractional Doctor 'A' has been employed continuously as a Specialist by Employer 'X' for twelve years and remains in the employment of Employer 'X'.
Five years ago, Fractional Doctor 'A' commenced employment as a Specialist with Employer 'Y' and remains in the employment of Employer 'Y'.
Fractional Doctor 'A' has had contemporaneous, ongoing employment as a Specialist with both Employer 'X' and Employer 'Y' since their commencement with Employer 'Y'.
In respect of Fractional Doctor 'A' in the scenario above (or a Fractional Doctor in an equivalent scenario), does Fractional Doctor 'A' have an entitlement to access a long service leave benefit described in clause 55.1 of the Agreement from:
(a) If, when conciliation is complete, the dispute is not settled, either party may request the FWC proceed to determine the dispute by arbitration."
(a) A Doctor is entitled to Long Service Leave with pay for Continuous Service with Institutions and Statutory Bodies, in accordance with the provisions of this clause as follows:
(i) Six (calendar) months of long service leave after 15 years of Continuous Service then two months of long service leave after each additional five years of Continuous Service.
In calculating Continuous Service, the following is counted as part of the period of service:
(a) Service for which long service leave or payment in lieu has not been received in one or more Institutions including Statutory Bodies directly associated with such Institutions for the period required by clause 55.1(a) of this Agreement;..."
"55.8 Continuous Service includes entitlements pursuant to previous Victorian Industrial Awards or Agreements
(a) Continuous Service includes continuous service with Institutions and Statutory Bodies within the meaning of any industrial instrument in operation in Victoria that covered the Doctor prior to the date upon which this Agreement covers the Doctor, subject to the allowable period of absence at subclause 55.9. This includes service recognised by an industrial instrument where the Doctor was employed as part of an accredited Specialist training program by an employer not covered by that agreement. (See subclause 68.7(f) of the AMA Victoria - Victorian Public Health Sector - Doctors in Training Enterprise Agreement 2018-2021, where relevant.) The requirements of subclause 55.13 apply."
"55.13 Doctor Responsible for Proof of Service
(a) The Doctor is at all times responsible for proving that he or she has completed sufficient service to access the long service leave entitlement.
(b) A certificate in the form set out in Schedule D shall constitute proof, but not the only possible proof."
(i) Collaboration between the parties over the life of the Agreement to better accommodate long service leave arrangements for Doctors employed by two or more Health Services concurrently;
"1. The construction of an enterprise agreement, like that of a statute or contract, begins with a consideration of the ordinary meaning of the relevant words. The resolution of a disputed construction of an agreement will turn on the language of the agreement having regard to its context and purpose. Context might appear from:
(ii) the disputed provision's place and arrangement in the agreement;
(iii) the legislative context under which the agreement was made and in which it operates.
2. The task of interpreting an agreement does not involve rewriting the agreement to achieve what might be regarded as a fair or just outcome. The task is always one of interpreting the agreement produced by parties.
3. The common intention of the parties is sought to be identified objectively, that is by reference to that which a reasonable person would understand by the language the parties have used to express their agreement, without regard to the subjective intentions or expectations of the parties.
4. The fact that the instrument being construed is an enterprise agreement made pursuant to Part 2-4 of the FW Act is itself an important contextual consideration. It may be inferred that such agreements are intended to establish binding obligations.
5. The FW Act does not speak in terms of the 'parties' to enterprise agreements made pursuant to Part 2-4 agreements, rather it refers to the persons and organisations who are 'covered by' such agreements. Relevantly s.172(2)(a) provides that an employer may make an enterprise agreement 'with the employees who are employed at the time the agreement is made and who will be covered by the agreement'. Section 182(1) provides that an agreement is 'made' if the employees to be covered by the agreement 'have been asked to approve the agreement and a majority of those employees who cast a valid vote approve the agreement'. This is so because an enterprise agreement is 'made' when a majority of the employees asked to approve the agreement cast a valid vote to approve the agreement.
6. Enterprise agreements are not instruments to which the Acts Interpretation Act 1901 (Cth) applies, however the modes of textual analysis developed in the general law may assist in the interpretation of enterprise agreements. An overly technical approach to interpretation should be avoided and consequently some general principles of statutory construction may have less force in the context of construing an enterprise agreement.
7. In construing an enterprise agreement it is first necessary to determine whether an agreement has a plain meaning or it is ambiguous or susceptible of more than one meaning.
8. Regard may be had to evidence of surrounding circumstances to assist in determining whether an ambiguity exists.
9. If the agreement has a plain meaning, evidence of the surrounding circumstances will not be admitted to contradict the plain language of the agreement.
10. If the language of the agreement is ambiguous or susceptible of more than one meaning then evidence of the surrounding circumstance will be admissible to aide (sic) the interpretation of the agreement.
11. The admissibility of evidence of the surrounding circumstances is limited to evidence tending to establish objective background facts which were known to both parties which inform and the subject matter of the agreement. Evidence of such objective facts is to be distinguished from evidence of the subjective intentions of the parties, such as statements and actions of the parties which are reflective of their actual intentions and expectations.
12. Evidence of objective background facts will include:
(i) evidence of prior negotiations to the extent that the negotiations tend to establish objective background facts known to all parties and the subject matter of the agreement;
(ii) notorious facts of which knowledge is to be presumed; and
(iii) evidence of matters in common contemplation and constituting a common assumption.
13. The diversity of interests involved in the negotiation and making of enterprise agreements (see point 4 above) warrants the adoption of a cautious approach to the admission and reliance upon the evidence of prior negotiations and the positions advanced during the negotiation process. Evidence as to what the employees covered by the agreement were told (either during the course of the negotiations or pursuant to s.180(5) of the FW Act) may be of more assistance than evidence of the bargaining positions taken by the employer or a bargaining representative during the negotiation of the agreement.
14. Admissible extrinsic material may be used to aid the interpretation of a provision in an enterprise agreement with a disputed meaning, but it cannot be used to disregard or rewrite the provision in order to give effect to an externally derived conception of what the parties' intention or purpose was.
15. In the industrial context it has been accepted that, in some circumstances, subsequent conduct may be relevant to the interpretation of an industrial instrument. But such post-agreement conduct must be such as to show that there has been a meeting of minds, a consensus. Post-agreement conduct which amounts to little more than the absence of a complaint or common inadvertence is insufficient to establish a common understanding."

(a) For the purpose of this clause 11, a dispute includes a grievance.
(b) This dispute resolution procedure will apply to any dispute arising in relation to:
(iv) a request for an additional 12 months parental leave; or
(v) matters purported to be saved due to the operation of the Savings provision.
(c) A party to the dispute may choose to be represented at any stage by a representative including the Association or employer organisation. A representative, including the Association or employer organisation on behalf of a Health Service, may initiate a dispute.
(a) A Doctor is entitled to Long Service Leave with pay for Continuous Service with Institutions and Statutory Bodies, in accordance with the provisions of this clause as follows:
(i) Six (calendar) months of long service leave after 15 years of Continuous Service then two months of long service leave after each additional five years of Continuous Service.
(ii) A Doctor may take pro rata long service leave after 10 years of Continuous Service where the Health Service agrees. The Health Service will not unreasonably withhold agreement.
(a) Pro-rata entitlements accrue on termination of employment after 10 years of service.
(b) Pro-rata entitlements are calculated as 1/30th of the period of Continuous Service since beginning employment, or since the last normal long service leave entitlement became due, whichever is later.
(a) The Doctor is entitled to be paid the following for Long Service Leave:
(i) for a Full-time Doctor, the remuneration for a Doctor's normal weekly hours of work calculated, at the Doctor's ordinary time rate of pay, at the time the leave is taken or (if the Doctor dies before the completion of leave so taken) as at the time of death;
(ii) for a Fractional Doctor, the remuneration calculated on the average of their ordinary hours of work applying over the two years of employment immediately preceding the taking of leave.
(b) Payment of a Doctor's long service leave entitlement must be made by one of the following methods:
(i) in full and in advance of the Doctor commencing leave;
(ii) at the same time as the Doctor would normally be paid when on duty; or
(iii) in any other way agreed between the Doctor and the Health Service.
(c) Where an increase occurs in the ordinary time rate of pay during any period of long service leave taken by the Doctor, the Doctor will be entitled to receive payment of the amount of any increase in pay at the completion of such leave. Where a deduction is made for the rental, such amount will be deducted from the pay for the period of leave.
(a) A Doctor must be granted long service leave within six months of the date eligibility arose under this clause. By agreement, the taking of the leave may be postponed to such a date mutually agreed.
(b) Any long service leave is inclusive of public holidays occurring during the period when the leave is taken.
(i) the first six months of the Doctor's long service leave entitlement may be taken in two or three separate periods; or
(d) Flexible taking of leave: Double leave at half pay or half leave at double pay
(i) A Health Service may approve an application by a Doctor to take double the period of long service leave at half pay or half the period of long service leave at double the pay.
(ii) Doctors should seek independent advice regarding the taxation and superannuation implications of seeking payment under this subclause 55.4(d). The Health Service will not be held responsible in any way for the cost or outcome of any such advice.
(iii) The Health Service, if requested by the Doctor, will provide information as to the amount of tax the Health Service intends to deduct where payment of long service leave is sought under subclause 55.4(d)(i).
(iv) If granting the request under this subclause would result in an additional cost to the Health Service, then it is not practical to grant a Doctor's request.
(v) Flexible taking of long service leave does not affect a Doctor's period of Continuous Service recognised. For example, a Doctor taking 12 months at half pay will, for the purpose of calculating Continuous Service, have six months of Continuous Service recognised. A Doctor taking three months at double pay will have 6 months of Continuous Service recognised. In either case service will not be broken.
(a) To determine a period of service of a Doctor, the Health Service must include the service or breaks set out in subclause 55.6.
(b) To calculate an entitlement, service or breaks listed in subclause 55.6 are counted as service, while the periods listed in subclause 55.7 are not counted as service but do not break continuity of service.
Example: If a Doctor was engaged nine years ago and has within that time taken 12 months of unpaid Parental Leave, he or she must wait 11 years from the date of engagement before being eligible for pro rata Long Service Leave.
In calculating Continuous Service, the following is counted as part of the period of service:
(a) service for which long service leave or payment in lieu has not been received in one or more Institutions including Statutory Bodies directly associated with such Institutions for the period required by subclause 55.1(a) of this Agreement;
(c) service with a business that was transmitted, transferred, assigned, conveyed or succeeded from one business to another;
(e) leave of absence where the absence is authorised in advance in writing by the Health Service to be counted as service;
(f) any absence from work of not more than fourteen days in any year on account of illness or injury or if applicable such longer period as provided in clause 49 - Personal/Carers' Leave;
(g) service as part of a specialist training program accredited by a Specialist Medical College with an employer not covered by this Agreement where:
(i) the break between period of employment is not more than two months duration or such longer period as provided in subclause 55.9(a)(ii) (Allowable period of absence for Parental Leave); and
(ii) the Doctor has not received payment for their long service leave benefit for that service.
(h) in the case of Doctors who commence employment with a Victorian public Health Service after 30 November 2008, service with an interstate government health service, provided that such interstate government health service employment was within two months of commencing employment with a Victorian public Health Service;
(i) absence on account of injury arising out of or in the course of his or her employment of the Doctor for a period during which payment is made under clause 49 - Personal/Carers' Leave;
(j) any interruption or ending of the employment by the Health Service if such interruption or ending is made with the intention of avoiding obligations in respect of long service leave or annual leave.
In calculating Continuous Service, the following is not counted as part of the period of service but does not break continuity of service:
(a) absence on unpaid parental leave or an equivalent period for parental leave purposes (up to 24 months between engagements) under subclause 55.9(a)(ii);
(b) absence arising directly or indirectly from an industrial dispute;
(c) any period of time from employment between engagements with a Statutory Body, any Institution and any other provider that is less than the Doctor's allowable period of absence from employment pursuant to subclause 55.9 below;
(d) the dismissal of a Doctor by a Health Service if re-employed within two months of the dismissal;
(e) any leave of absence authorised by the Health Service which has not been authorised in advance in writing by the Health Service to be counted as service;
(f) any other absence of a Doctor by leave of the Health Service, or on account of injury arising out of or in the course of employment not covered by subclause 55.6(i) above.
(a) Continuous Service includes continuous service with Institutions and Statutory Bodies within the meaning of any industrial instrument in operation in Victoria that covered the Doctor prior to the date upon which this Agreement covers the Doctor, subject to the allowable period of absence at subclause 55.9. This includes service recognised by an industrial instrument where the Doctor was employed as part of an accredited Specialist training program by an employer not covered by that agreement. (See subclause 68.7(f) of the AMA Victoria - Victorian Public Health Sector - Doctors in Training Enterprise Agreement 2018-2021, where relevant.) The requirements of subclause 55.13 apply.
(a) A Doctor's allowable period of absence from employment will be the greater of:
(i) five weeks in addition to the total period of paid annual leave and/or personal leave that the Doctor actually receives on termination, or for which he or she is paid in lieu; or
(ii) such longer period of absence equivalent to and for the purpose of parental leave under the NES.
(a) Provided in the case of a Doctor who accrues entitlement pursuant to subclause 55.1(a) of this Agreement and who intends to be re-employed by another Institution or Statutory Body:
(i) such a Doctor may in writing request payment in respect of such leave to be deferred until after the expiry of the Doctor's allowable period of absence from employment provided in subclause 55.9 of this Agreement;
(ii) except where the Doctor gives notice in writing that the Doctor has been employed by another Institution or Statutory Body, payment will be made in respect of such leave at the expiry of the Doctor's allowable period of absence from employment; and
(iii) where a Doctor gives notice in writing that the Doctor has been employed by another Institution or Statutory Body, the Health Service is no longer required to make payment to the Doctor in respect of such leave.
(a) For a Doctor who has completed at least ten years' service and who has died, the Health Service must pay the Doctor's authorised representative an amount equal to 1/30th of the Doctor's Continuous Service in respect of which leave has not been allowed or payment made immediately prior to the death of the Doctor.
(a) The Health Service must keep a record of long service leave for each Doctor. This record must show details of service, leave taken and payments made.
(a) The Doctor is at all times responsible for proving that he or she has completed sufficient service to access the long service leave entitlement.
(b) A certificate in the form set out in Schedule D shall constitute proof, but not the only possible proof.
[5] First Respondent's submissions at [25-26]
[6] First Respondent's submissions at [29-30]
[7] First Respondent's submissions at [20]; Applicants' submissions at [106]
[9] Department submissions at [24]; Applicants' reply submissions at p.6
[10] First Respondent's submissions at [23]; Applicants' reply submissions at p.6
[11] Applicants' submissions at [103]; First Respondent's submissions at [28]
[12] Applicants' reply submissions at p.6
[13] Applicants' reply submissions at p.6
[14] First Respondent's submissions at [31-34]
[15] First Respondent's submissions at [35-38]
[17] [2017] FWCFB 3005 (Berri)
[18] Applicants' submissions at [13], [19], [100-102]
[19] Applicants' submissions at [13], [16], [22-23]
[20] Applicants' submissions at [13], [76-81]
[21] Applicants' submissions at [13], [26-35]
[22] Applicants' submissions at [13], [36-44]
[23] Applicants' submissions at [13], [45-56]
[28] Applicants' submissions at [46-51]
[30] See for example Long Service Leave Act 2018 (Vic) ss 6, 11
Printed by authority of the Commonwealth Government Printer
AMA (Victoria) Ltd T/A AMA; Australian Salaried Medical Officers Federation
The Royal Women's Hospital and Others [2021] FWC 4696