Section 52(2)
40 As I have noted above, contextually it is important to understand that by s 51, unless an enterprise agreement "applies" to an employee, the person has no entitlements under it, and an employer assumes no obligations in relation to that employee under an agreement.
41 The purpose of s 52 is to prescribe when an enterprise agreement applies to a person: that purpose is fulfilled principally by the terms of s 51(1). The requirements of s 52(1)(a) and (c) are unremarkable, s 52(1)(b) must be examined more closely.
42 Section 53 supplies a statutory description of when an enterprise agreement "covers" an employee and provides:
53 When an enterprise agreement covers an employer, employee or employee organisation
Employees and employers
(1) An enterprise agreement covers an employee or employer if the agreement is expressed to cover (however described) the employee or the employer.
Employee organisations
(2) An enterprise agreement covers an employee organisation:
(a) for an enterprise agreement that is not a greenfields agreement - if the FWC has noted in its decision to approve the agreement that the agreement covers the organisation (see subsection 201(2)); or
(b) for a greenfields agreement - if the agreement is made by the organisation.
Effect of provisions of this Act, FWC orders and court orders on coverage
(3) An enterprise agreement also covers an employee, employer or employee organisation if any of the following provides, or has the effect, that the agreement covers the employee, employer or organisation:
(a) a provision of this Act or of the Registered Organisations Act;
(b) an FWC order made under a provision of this Act;
(c) an order of a court.
(4) Despite subsections (1), (2) and (3), an enterprise agreement does not cover an employee, employer or employee organisation if any of the following provides, or has the effect, that the agreement does not cover the employee, employer or organisation:
(a) another provision of this Act;
(b) an FWC order made under another provision of this Act;
(c) an order of a court.
Enterprise agreements that have ceased to operate
(5) Despite subsections (1), (2) and (3), an enterprise agreement that has ceased to operate does not cover an employee, employer or employee organisation.
Enterprise agreements cover employees in relation to particular employment
(6) A reference in this Act to an enterprise agreement covering an employee is a reference to the agreement covering the employee in relation to particular employment.
43 The appellant did not dispute that the 2010 and 2013 Agreements "covered" him: indeed, that was a core part of his case to secure the additional entitlements.
44 It was common ground that the way s 53(1) applied to the appellant was first, by reference to cl 2.1.1 of the 2010 Agreement (the 2013 Agreement being materially identical):
2.1 Coverage of the Agreement
2.1.1 This Agreement is made under Part 2-4 of the FW Act and covers:
(a) Australia Post;
(b) all employees of Australia Post employed in classifications set out in Attachment A; and
(c) Unions as defined in clause 47.14.
45 One then turns to Attachment A (again taking the 2010 Agreement - they are materially the same on this issue also), where there were classification entries for:
(1) Postal Delivery Officer (with no distinct grade levels); and
(2) Postal Services officer (with no distinct grade levels).
46 In this sense, using the terms of s 53(1), each of the 2010 and 2013 Agreements are "expressed to cover" the appellant.
47 At [15] of his written submissions the appellant referred to a passage at [25] of the High Court's decision in Aldi Foods Pty Ltd v Shop, Distributive and Allied Employees Association [2017] HCA 53; 92 ALJR 33. Paragraph [25] of the High Court's reasons states:
…It is evident from these provisions of the Act that an enterprise agreement may "cover" an employee even though it does not yet "apply" to that employee in the sense of imposing obligations on the employee and the employer
48 The important word here is "yet". Aldi concerned an enterprise agreement for employment at an Aldi distribution centre which was still under construction and at which trading had not yet commenced, and one of the issues in the case was whether the only way to create an agreement that was binding on employees and gave employees entitlements was under the "greenfields" provisions in s 53; or whether what Aldi had done was also permissible under the FW Act. The present situation is quite different: in the appellant's situation, the "application" and "coverage" of the award are co-extensive. In that sense, the High Court's statement at [25] speaks to a different situation and does not assist the appellant. That is made clear by [26] of the plurality judgment:
Section 52 of the Act deals with when an agreement "applies" to an employee. Importantly, ss 52 and 53 expressly indicate that an enterprise agreement may cover an employee when it is not in operation, but it can only apply to an employee when it is in operation.
49 In Aldi at [30] the Court described the concept of "coverage" of an employee by an enterprise agreement as meaning:
..the agreement provid[es] terms and conditions for the job performed by, or to be performed by, the employee.
(emphasis added)
50 The appellant also relied on this passage. It would appear that the Court's reference to the "job performed" may be a reference to the classifications in an enterprise agreement, when read with a clause such as cl 2.1.1 of the 2010 Agreement.
51 Thus, relevantly for the present issue (and perhaps differently from Aldi) the principal question asked by the terms of s 52(1) in order to decide whether the enterprise agreement "applies" to a person is whether the agreement "covers" a person and therefore, applies to that person (subject to the other two requirements in s 52(1)).
52 That question having been asked and answered by the terms of s 52(1), what then is the work to do for s 52(2)?
53 The answer to this, the key question on the appeal, requires consideration of the circumstances in which the FW Act uses the phrase "particular employment". In part that is because the text of s 52(2) expressly seeks to apply the qualification within it to "references in this Act" as a whole and is used in several other places in the Act. It is also used, for example, in s 53(6), set out above, which was the provision considered in Aldi, and the meaning given to it by the High Court poses some difficulty for the appellant's arguments. That is why he sought to distinguish Aldi. I return to this issue below.
54 The qualification, as it appears in s 53(6) is in the following form:
A reference in this Act to an enterprise agreement covering an employee is a reference to the agreement covering the employee in relation to particular employment.
55 Section 47 also contains the phrase, in the context of prescribing when a modern award "applies" to a person: in that sense, it correlates to s 52, but in relation to modern awards:
47 When a modern award applies to an employer, employee, organisation or outworker entity
When a modern award applies to an employee, employer, organisation or outworker entity
(1) A modern award applies to an employee, employer, organisation or outworker entity if:
(a) the modern award covers the employee, employer, organisation or outworker entity; and
(b) the modern award is in operation; and
(c) no other provision of this Act provides, or has the effect, that the modern award does not apply to the employee, employer, organisation or outworker entity.
Note 1: Section 57 provides that a modern award does not apply to an employee (or to an employer, or an employee organisation, in relation to the employee) in relation to particular employment at a time when an enterprise agreement applies to the employee in relation to that employment.
Note 2: In a modern award, coverage of an outworker entity must be expressed to relate only to outworker terms: see subsection 143(4).
Modern awards do not apply to high income employees
(2) However, a modern award does not apply to an employee (or to an employer, or an employee organisation, in relation to the employee) at a time when the employee is a high income employee.
Modern awards apply to employees in relation to particular employment
(3) A reference in this Act to a modern award applying to an employee is a reference to the award applying to the employee in relation to particular employment.
56 Section 48 is in similar terms, but deals with coverage - these two provisions are, in many parts, materially identical in text and purpose to ss 53 and 52.
57 A similar phrase is used in s 57, dealing with modern awards, and which provides:
57 Interaction between modern awards and enterprise agreements
(1) A modern award does not apply to an employee in relation to particular employment at a time when an enterprise agreement applies to the employee in relation to that employment.
(2) If a modern award does not apply to an employee in relation to particular employment because of subsection (1), the award does not apply to an employer, or an employee organisation, in relation to the employee.
58 As the notes to s 47 explain, s 57 gives priority, or precedence, to an enterprise agreement that "applies" to a person, over a modern award which "applies". However, it does so in relation to a "particular employment": the adjective is necessary so that the overlap can be precisely identified and so precedence can be given to the enterprise agreement.
59 Section 58 involves another mechanism of sorting out which industrial instrument should apply to a person, and does so (like s 278 below) by using the two phrases "particular employment" and "same employment":
58 Only one enterprise agreement can apply to an employee
Only one enterprise agreement can apply to an employee
(1) Only one enterprise agreement can apply to an employee at a particular time.
General rule - later agreement does not apply until earlier agreement passes its nominal expiry date
(2) If:
(a) an enterprise agreement (the earlier agreement) applies to an employee in relation to particular employment; and
(b) another enterprise agreement (the later agreement) that covers the employee in relation to the same employment comes into operation; and
(c) subsection (3) (which deals with a single‑enterprise agreement replacing a multi‑enterprise agreement) does not apply;
then:
(d) if the earlier agreement has not passed its nominal expiry date:
(i) the later agreement cannot apply to the employee in relation to that employment until the earlier agreement passes its nominal expiry date; and
(ii) the earlier agreement ceases to apply to the employee in relation to that employment when the earlier agreement passes its nominal expiry date, and can never so apply again; or
(e) if the earlier agreement has passed its nominal expiry date - the earlier agreement ceases to apply to the employee when the later agreement comes into operation, and can never so apply again.
Special rule - single‑enterprise agreement replaces multi‑enterprise agreement
(3) Despite subsection (2), if:
(a) a multi‑enterprise agreement applies to an employee in relation to particular employment; and
(b) a single‑enterprise agreement that covers the employee in relation to the same employment comes into operation;
the multi‑enterprise agreement ceases to apply to the employee in relation to that employment when the single‑enterprise agreement comes into operation, and can never so apply again.
60 Section 278 uses the phrase in dealing with the interaction between a workplace determination (see generally Part 2-5) and an enterprise agreement:
278 Interaction of a workplace determination with enterprise agreements etc.
Interaction with an enterprise agreement
(1) If:
(a) a workplace determination applies to an employee in relation to particular employment; and
(b) an enterprise agreement that covers the employee in relation to the same employment comes into operation;
the determination ceases to apply to the employee in relation to that employment, and can never so apply again.
Interaction with another workplace determination
(2) If:
(a) a workplace determination (the earlier determination) applies to an employee in relation to particular employment; and
(b) another workplace determination (the later determination) that covers the employee in relation to the same employment comes into operation;
the earlier determination ceases to apply to the employee in relation to that employment when the later determination comes into operation, and can never so apply again.
61 This provision is helpful in understanding what Parliament intends the phrase to mean, because it contrasts "particular employment" with "the same employment". This is consistent with the meaning I conclude below should be given to the phrase in s 52(2): namely, that the adjective "particular" is intended to allow a type of employment, a position, the kind of work, or a "job" to be identified. In other words, that "particular employment" is intended to comprehend all of the alternative or cumulative descriptions in s 256A.
62 I note also s 277(5) which is in almost identical terms to s 52(2) and s 53(6):
Workplace determinations cover employees in relation to particular employment
(5) A reference in this Act to a workplace determination covering an employee is a reference to the determination covering the employee in relation to particular employment.
63 Section 256A is also of relevance. It provides:
256A How employees, employers and employee organisations are to be described
(1) This section applies if a provision of this Part requires or permits an instrument of any kind to specify the employers, employees or employee organisations covered, or who will be covered, by an enterprise agreement or other instrument.
(2) The employees may be specified by class or by name.
(3) The employers and employee organisations must be specified by name.
(4) Without limiting the way in which a class may be described for the purposes of subsection (2), the class may be described by reference to one or more of the following:
(a) a particular industry or part of an industry;
(b) a particular kind of work;
(c) a particular type of employment;
(d) a particular classification, job level or grade.
64 While the phrase here is "particular type of employment", this is a provision about coverage and how industrial instruments are to describe when and whether a person is "covered" by the instrument. It is clear that if not identified by name, employees are to be identified by class and subsection (4) sets out four ways (cumulatively or alternatively) the class may be described. A distinction is made between "kind of work" and "type of employment". I take the former to refer to a description of a class where the activity or activities performed by the employee form part of the classification (eg, "forklift driving"). The latter refers, in my opinion to a description of a position or job, and the description "Postal Delivery Officer" and "Postal Services Officer" fall within this. Looking back to the other terms of Attachment A, the grades or levels for some of the other jobs in Attachment A (eg Senior Postal Services Officer - Grade 1, Grade 2, etc) combine (c) and (d).
65 Section 281A is in similar terms to s 256A and should be similarly construed.
66 There are provisions such as s 195, which use the phrase "particular position" in a context where they also use the term "employment" (with my underlining):
195 Meaning of discriminatory term
Discriminatory term
(1) A term of an enterprise agreement is a discriminatory term to the extent that it discriminates against an employee covered by the agreement because of, or for reasons including, the employee's race, colour, sex, sexual orientation, age, physical or mental disability, marital status, family or carer's responsibilities, pregnancy, religion, political opinion, national extraction or social origin.
Certain terms are not discriminatory terms
(2) A term of an enterprise agreement does not discriminate against an employee:
(a) if the reason for the discrimination is the inherent requirements of the particular position concerned; or
(b) merely because it discriminates, in relation to employment of the employee as a member of the staff of an institution that is conducted in accordance with the doctrines, tenets, beliefs or teachings of a particular religion or creed:
(i) in good faith; and
(ii) to avoid injury to the religious susceptibilities of adherents of that religion or creed.
67 Here, "employment" appears to mean or refer to the act of employing - that is, the act of contracting to employ a person, or the contract of employment, whereas, the "particular position" refers to the job the person performs as a result of that contract. I consider a provision such as s 195 needs to be construed differently to provisions such as ss 52(2) and 53(6). There are other provisions which also appear to give "employment" this different meaning: see eg s 384.
68 It is tolerably clear that there is a pattern within the FW Act to the use of the phrase "particular employment". While the use of the word "employment" rather than "work" or "position" may suggest a focus on the contract of employment, in my opinion the purpose of the adjectival phrase "particular employment" is to enable identification, with sufficient precision, of what the job or position of an employee is at any given time: that is, what is the position description or classification given to the work they are performing.
69 Looking at its text and purpose, in the context of the FW Act as a whole and the other circumstances in which that phrase is used, in my opinion the work done by s 52(2) therefore is to confine the circumstances in which an enterprise agreement will "apply" to an employee to those circumstances where the employee is occupying a particular position or a particular job, and the contents of that enterprise agreement are intended to apply to the employee while she or he occupies that position or job, creating entitlements and obligations in the employee and the employer in accordance with the enterprise agreement. I accept Australia Post's submission that the function of s 52(2) is to place a further limit on the circumstances in which an enterprise agreement will "apply" to an employee.
70 The conclusion I have reached as a matter of a process of construction is consistent with the construction given to the identically worded provision (in a material sense) in s 53(6) by the High Court in Aldi. The key passages in Aldi for the purposes of the issue on this appeal are [24]-[34]. As I have noted, the plurality (with whom Gageler J relevantly agreed) expressly considered the terms of s 52(1), because in these passages the plurality was emphasising that there can be circumstances where an enterprise agreement may "cover" an employee but not "apply" to that employee. They did not however expressly consider the terms of s 52(2), because the issues in Aldi were more concerned with coverage than application. At [30]-[31], the plurality said:
Because an employee may be covered by more than one agreement at one time, s 58(1) of the Act provides that only one enterprise agreement can apply to an employee at a particular time. That is because only one set of rights and obligations can be in operation in relation to the work actually performed by the employee at that time in relation to particular employment. Given the terms of ss 52 and 53, it is apparent that an employee may be covered by an agreement that applies to him or her, and by an agreement that does not, at that time, apply to him or her. Furthermore, an employee may be covered by more than one agreement at any one time. To speak of an employee being covered by an agreement is to speak of the agreement providing terms and conditions for the job performed by, or to be performed by, the employee.
In this context, the natural meaning of the reference in s 53(6) to "particular employment" of an employee is to the description of the employee's job in the agreement. In this regard, the terms of cl 5 of the Agreement refer to the job descriptions of employees whose employment the Agreement will regulate when it comes into operation. It is a natural and ordinary use of language to speak of the Agreement as covering these employees.
71 Paragraph [75] is also important:
In the course of argument in this Court it was suggested on behalf of the SDA that s 53(6) of the Act, in speaking of "the agreement covering the employee in relation to particular employment", is speaking exclusively of a case where the employee is actually performing work under the agreement at that time. That understanding of s 53(6) requires one to read into the provision words that are not there. Read without the SDA's proposed gloss, it is apparent that the provision is simply referring to the employee's job as described in the agreement rather than to the actual performance by the employee of the tasks involved in that job. This understanding accords with the Explanatory Memorandum for the Bill, which treats "particular employment" as synonymous with a "job".
72 In substance then, the application of an enterprise agreement (and thus the entitlements and obligations arising) will operate on the job of an employee, as described in the enterprise agreement, not the actual performance of the tasks involved in that job. I do not see any other way to read the plurality reasons in Aldi.
73 Bromberg J applied this aspect of Aldi in Choppair Helicopters Pty Ltd v Bobridge (No 2) [2018] FCA 700. This was a decision following up on Bromberg J's findings on an appeal from the Federal Circuit Court. Choppair (No 2) concerned the respondent's entitlement to accident pay under the Air Pilots Award 2010. Having found that the respondent was an employee at the time of her injury (when the claim for accident pay was said to arise), Bromberg J set out the purpose of accident pay at [20]:
The general purpose of a provision for accident make-up pay is to compensate an employee for the difference between what the employee receives by way of workers' compensation and the income that would have been received by the employee if the employee had not been injured and had attended work.
74 His Honour found (at [24]) that the accident make-up pay entitlement was dependent on and supplementary to the workers' compensation entitlement of the employee, and was not intended to be dependent on the continuation of a person's employment (at [26]). Relevantly, his Honour then considered an argument by Choppair that the legislative context of the FW Act about awards "covering" and "applying to" an employee, and (relying on s 48(5)) - which I refer to at [56] above - provided that once an employee's "particular employment" ends, a modern award is no longer capable of applying to an employee.
75 It was in this context that Bromberg J held (at [35]) that:
The "particular employment" referred to in s 47(3) of the FW Act is simply a reference to the job held by the employee: Aldi Foods Pty Ltd v Shop, Distributive and Allied Employees Association [2017] HCA 53 at [75] (Kiefel CJ, Bell, Keane, Nettle, Gordon and Edelman JJ). The basis for the emphasis given by Choppair's submission to s 47(3) is not clear. Ms Bobridge had a "particular employment", being her employment by Choppair on 2 November 2013 as a helicopter pilot. The primary judge's finding that the AP Award applied to that employment has not been disturbed on the appeal. Section 46(2) did not prevent the AP Award from conferring upon Ms Bobridge an entitlement to accident make-up pay arising out of that particular employment. The construction of cl 22 which I prefer, in which the entitlement accrues at the date of injury, is not impeded in its operation by s 46(2).
76 His Honour concluded (at [37]) that there was an obligation imposed by the award on Choppair to pay accident pay from the date of the injury, including "where the particular employment which gave rise to the entitlement has ended".
77 Although obviously in quite a different context, the approach of Bromberg J to the construction of "particular employment" in s 48(5) is consistent with the one I have adopted, and is plainly drawn from Aldi. His Honour did not see any need to distinguish Aldi because it concerned s 53(6) and his Honour was dealing with s 48(5), where the text was relevantly identical.
78 In a similar way, I see no basis to distinguish between the construction of that phrase in s 53(6) and its construction in s 52(2).
79 As I understood the arguments, the appellant sought to distinguish Aldi (and therefore also Choppair) by contending:
(1) Section 52(2) concerns "application" of an enterprise agreement and s 53(6) concerns "coverage"; and
(2) Aldi related to employees with different jobs covered by different agreements with the same employer, not an employee with two jobs with the same employer under one enterprise agreement.
80 These two differences can be accepted. However, I do not see how of themselves they affect what I consider to be the proper construction of s 52(2). As I have said above, the purpose of subsection (2) of s 52 is to place a further qualification on how an enterprise agreement "applies" to an employee so as to create entitlements in the employee, and obligations in the employer.
81 In reply submissions, and in answer to questions asked of him, counsel for the appellant submitted that in a case like that of the appellant, the reality is that s 52(2) has no work to do. Its work, he submitted, was in ensuring compliance with s 58 of the FW Act: namely, that only one agreement can "apply" to an employee at any given time. That, he submitted, is the work that the adjective "particular" does in s 52(2).
82 Although this has some force, I do not consider it fits comfortably with the use of the phrase "particular employment" throughout the FW Act, as I have set out above. That context demonstrates that the adjective is indeed directed at specifying the kind of job to which the enterprise agreement will apply. Where the circumstances of an employee and employer fall within s 52(1), then s 52(2) further qualifies the "application" of an enterprise agreement, to the specific position or job the employee is performing. So long as there is only one enterprise agreement which applies to the employee at a given time (that being the effect of s 58), in my opinion there is no prohibition in the FW Act, or in the common law, to there being two separate contractual arrangements between an employee and an employer, and s 52(2) recognises this by qualifying the way an enterprise agreement can "apply" to restrict its application to the "particular employment" of a worker.
83 The appellant also submitted that the uniqueness of the current circumstances should lead the Court to favour the approach for which he contended: namely that the appellant's two "jobs" (even if Aldi is applied to that extent) should be considered cumulatively for the purposes of his entitlements under the enterprise agreements. The appellant submitted:
In its submissions in support of grounds 1, 3 and 6, the Respondent provides by way of a footnote that "an employee working for one employer in two separate jobs, and pursuant to two separate contracts of employment of service is, although unusual, known to the common law". This proposition may be accepted, so far as it goes. However, prior to the decision below, it appears that no Australian court or tribunal had ever found that an employee working for one employer in two different jobs/roles/ employment contracts under one industrial instrument should have their work treated as separate and distinct for the purpose of that industrial instrument, absent a specific clause in the relevant instrument to provide for such.
84 Australia Post did not submit this precise issue had been decided before. Without an exhaustive search it is not possible to know, nor does it matter. The appellant's argument is, with respect, circular. The treatment of the appellant's terms and conditions of employment as "separate and distinct" (to use the appellant's counsel's language) is a consequence of the facts (about the existence of two contracts of employment) and the construction of s 52(2): that outcome cannot be used to inform what the outcome should be.