The alleged unlawful application of PAM3 (ground 1)
30 The first ground of appeal is that the Judge erred in not holding that the Tribunal had committed a jurisdictional error by applying the criteria in the policy in PAM3 in a way that precluded a proper consideration of whether there were exceptional circumstances within the Regulations. As I understood it, the appellant's argument was not that the Tribunal could not have regard to the policy in PAM3, but that the Tribunal erred in considering itself bound to conclude that matters not considered exceptional circumstances under the policy could not be considered exceptional circumstances under the Regulations.
31 PAM3 does not constitute directions by the Minister under s 499(1) of the Migration Act 1958 (Cth). As Gray J said in El Ess and Another v Minister for Immigration and Multicultural and Indigenous Affairs and Another (2004) 142 FCR 43 at 55 [45], PAM3 is not a binding document, and it is intended by its own terms to be nothing more than procedural and policy guidance to officers applying the Migration Act and the Migration Regulations.
32 In support of her argument, the appellant relied on Zhu & Ors v Minister for Immigration & Anor [2013] FCCA 1490 ("Zhu v Minister for Immigration") where the Federal Circuit Court held that the Tribunal had erroneously narrowed its consideration of an applicant's circumstances under the Regulations by reference to the Department's policy. The Tribunal had excluded from its consideration the circumstance that nobody in the workplace spoke English, "whereas the ordinary definition of 'exceptional circumstances' does not preclude that consideration". I will refer to Zhu v Minister for Immigration again later in these reasons.
33 It is well-recognised that it is permissible for an administrative decision-maker to have a policy and to have regard to it for the purposes of making a decision. The existence of a policy assists in achieving the desirable goal of treating similar cases in a similar fashion. However, the policy cannot be applied too rigidly, or without having regard to the particular facts of the case, or in a way which constrains (or expands) the statutory power in a manner not authorised by the words of the empowering provision (British Oxygen Co Ltd v Minister of Technology [1970] 3 WLR 488; Drake v Minister for Immigration and Ethnic Affairs (1979) 46 FLR 409 at 420 per Bowen CJ and Deane J; (1979) 24 ALR 577 at 590-591; [1978-1980] 2 ALD 60 at 69-71; Minister for Immigration, Local Government and Ethnic Affairs v Gray (1994) 50 FCR 189 at 206-208 per French J (as his Honour then was) and Drummond J). In his discussion of the relevant principles on the rehearing ordered by the Full Court in the Drake litigation, Brennan J (as his Honour then was) identified the benefits of a policy to good administrative decision-making, but he also emphasised the need for the policy to be consistent with the statute and for the discretion not to be so truncated by the policy as to preclude consideration of the merits of specified classes of case (Re Drake and Minister for Immigration and Ethnic Affairs (No 2) [1979] ALD 634 at 640). His Honour said that there is a distinction between "an unlawful policy which creates a fetter purporting to limit the range of discretion conferred by a statute, and a lawful policy which leaves the range of discretion intact while guiding the exercise of the power" (at 641).
34 As I have said, a policy may be unlawful because it constrains the exercise of a statutory discretion in a manner not authorised by the words of the statute. An example of this is Applicant S 214 of 2002 v Attorney-General (Cth) (2004) 40 AAR 155 where Hely J held that the relevant policy was unlawful because it purported to restrict the circumstances giving rise to "hardship" within the statutory provision to financial hardship when there was no warrant for restricting the statutory provisions in that way (see also Perder Investments Pty Ltd v Lightowler (1990) 25 FCR 150).
35 A policy, or part of a policy, may impermissibly constrain the exercise of a statutory power and be applied by the decision-maker in a way that has that effect. That would give rise to jurisdictional error. However, there would be no jurisdictional error even if the policy was unlawful, unless the decision-maker applied the policy in a way that impermissibly constrained his or her exercise of the statutory power. I mention these matters because in this case it is necessary to consider both of these issues.
36 For completeness, it may be noted that a policy may be lawful in that it does not expressly state that the matters referred to in it are exhaustive, but applied impermissibly by a decision-maker who treats them as exhaustive.
37 I turn now to mention the main cases to which I was referred.
38 In Zhu v Minister for Immigration, the Tribunal had had regard to PAM3 (as it was at the time of the decision) in considering whether there were exceptional circumstances in relation to the age requirement and in relation to the functional English requirement. The Tribunal decided that exceptional circumstances did not apply. On an application for judicial review, the Federal Circuit Court held that the Tribunal had committed jurisdictional error in a number of respects, including the following:
(1) the Tribunal failed to take into account a relevant consideration in relation to the functional English requirement, namely, whether the employer's business would suffer if the applicant was not retained ([29]);
(2) the Tribunal applied the policy in PAM3 (which seems to have been in different terms to the policy in PAM3 in this case) in relation to the functional English requirement and the policy excluded a relevant consideration in relation to exceptional circumstances, namely, the fact that nobody else in the workplace spoke English (at [32]-[34]).
39 In Jia v Minister for Immigration & Anor [2011] FMCA 422, the Federal Magistrates Court held that the Tribunal had committed a jurisdictional error in the course of considering exceptional circumstances under cl 856.213(b)(ii) (the need for the applicant to have vocational English unless exceptional circumstances applied) because, although it had thoroughly considered the applicant's claim as against the PAM3 guidelines, it had not considered the importance of the applicant to the employer's business.
40 In Jaravaza & Ors v Minister for Immigration and Citizenship and Anor (2013) 276 FLR 32, the Federal Circuit Court held that the Tribunal had committed a jurisdictional error by applying PAM3 to the issue of exceptional circumstances in the case of the age requirement where the policy was inconsistent with the Regulations (at 46, [81]) in drawing a distinction between those applicants aged between 45 and 60 and those applicants aged over 60 (at 46, [88]).
41 In An v Minister for Immigration, the Full Court of this Court considered the meaning of exceptional circumstances in the case of a requirement for vocational English for a subclass 856 visa (Employer Nomination (Residence) (Class BW) visa). The legislative provisions were not identical to the legislative provisions in issue in this case. One of the questions before the Court was whether the "appointment" (or position) was exceptional. The case is of assistance because the judges comprising the majority (Lindgren and Emmett JJ) made observations about the relevance of the language spoken in the workplace in the case of a vocational English requirement and the question of whether there were exceptional circumstances.
42 Lindgren J said (at 486-487, [29]-[33]):
The broad and general policy to which I referred is one of favouring the English language, whether at the functional or the vocational level. While the position in this particular business is exceptional in respect of language in one sense, in my view it is a sense that is irrelevant to the broad and general policy underlying the vocational English requirement.
There may be many small businesses, such as restaurants, in which the present owners and employees speak, to varying degrees of fluency, a foreign language, such as Italian, Greek, Chinese, and so on. Is it to be said that an employment vacancy in such a business would necessarily be exceptional in respect of the vocational English requirement? I think not. Such a view would tend to facilitate the perpetuation of foreign language workplaces, contrary to the policy underlying the requirement.
In other words, a particular employment position is not necessarily rendered exceptional in relation to that policy simply by past choices made by the employer to employ only persons who can speak a particular foreign language.
There may not be many positions that are exceptional when assessed against that broad policy, but the alternative construction is wrongly based on the linguistic composition of a particular workforce for the time being rather than on something connected with the nature of the position itself.
The exception appears to be directed to situations in which the employee will not be working with others in a conventional workplace situation. Perhaps it was such a consideration that influenced the author of the guidelines to suggest that religious workers, whose job, ex hypothesi, requires them to converse in a particular foreign language, might be within the exception.
43 Emmett J's observations were to similar effect (summary of the Tribunal's findings at 494-495, [71]-[74], summary of the appellant's submissions on the appeal at 497-498, [89]-[91], and his Honour's conclusion at 499, [98]).
44 Finkelstein J in dissent said that the fact that the ability to speak English in the applicant's workplace was, for all practical purposes, useless both at the time of the hearing and in the foreseeable future could be an exceptional circumstance (at 504, [116]-[119]).
45 The appellant submitted that parts of the policy in PAM3 were invalid because they impermissibly constrained the meaning of "exceptional circumstances", and that the Tribunal applied the policy thereby applying a test for exceptional circumstances narrower than that contained in the Regulations.
46 In relation to the age requirement, the Tribunal set out passages in the policy in its reasons. Of present significance are the following:
17.2 Exceptional circumstances on age grounds
In considering whether exceptional circumstances apply to an applicant who is 45 years or older, officers should consider whether:
• It is not possible to find a suitably qualified person to fill the position who is younger than the applicant.
• The duties of the position are unique or so specialised that few, if any, persons younger than 45 years old would have the same level of expertise.
...
Other considerations are whether the position is critical to the operation of the nominating employer's business ...
(Emphasis added).
47 In referring to the possibility of the decision-maker requesting information from an applicant's employer, the policy speaks of the employer showing that the applicant's position is essential to the business.
48 The appellant's submission is that the emphasised words mean that the policy goes too far in terms of what it requires an applicant to show for exceptional circumstances in the case of the age requirement. The appellant argued, by way of example, that the fact that an applicant's position is important, albeit not critical or essential to his or her employer's business, might, with other circumstances, constitute exceptional circumstances. In support of her argument that the Tribunal applied the impermissible standard fixed by the policy, the appellant referred to the fact that the Tribunal read certain passages of the policy to her in the course of taking her evidence, and the fact that in identifying the relevant matters, the Tribunal used the language of the policy (see, for example, [14]) above.
49 I reject this submission for the following reasons. First, it is not obvious to me that the policy does unlawfully constrain the meaning of "exceptional circumstances". For example, the introductory words to paragraph 17.2 refer to what the officers of the Department "should consider". Secondly, and in any event, I do not think the Tribunal applied the policy in the way the appellant suggested. Early in its reasons, the Tribunal made it clear that it understood that the "Guidelines" in the policy did not have, as the Tribunal put it, "the status of legislative requirements". Furthermore, the Tribunal instructed itself as to the meaning of "exceptional circumstances" in a manner which makes it clear that it was not rigidly applying the policy (see [12] above). Finally, and most importantly, the Tribunal expressed its conclusions in a way that satisfies me that it conducted a balancing exercise, rather than one involving the mechanical application of the requirements of the policy. I mean by that, that the Tribunal did not exclude from its consideration of whether there were exceptional circumstances, the value of the appellant's skills, or the extent to which she might be considered important to the business. The Tribunal said (at [49]):
Having regard to all the circumstances the Tribunal considers the applicant's skills are not so unique and nor is her position essential to the business, such as to outweigh concerns about her age and the need to balance the economic contributions and benefits made by RSMS visa holders against the future costs incurred to the Australian community in areas such as healthcare and aged pensions.
(Emphasis added).
50 In relation to the functional English requirement, the appellant pointed to the following passages in the policy which were set out in the Tribunal's reasons:
Most, or all, of the following should be considered in any assessments of exceptional circumstances for the English requirement:
...
• how the applicant might transfer their skills to, or otherwise train, other employees regardless of whether the current staff are from the same, or similar, cultural background as the applicant as this may change due to staff turnover or anti-discrimination concerns
• the applicant's ability to understand and comply with OH&S requirements, deal with work emergencies, call for emergency assistance, and communicate with emergency workers when they are alone. A certificate of attendance for an OH&S course should only be considered if it includes an assessment of the applicant's understanding of the course material, regardless of whether an interpreter was present or not (this means that attendance at a course is not sufficient evidence of the applicant's level of understanding)
...
Claims that would not be considered acceptable evidence to support requests for
exceptional circumstances for English include:
• the applicant will be working solely, or mostly, with workers from the same cultural background and therefore does not require Functional English to communicate with work colleagues. Even for people with the same or similar backgrounds, there may be regional language variations or dialects that could cause misunderstandings within the workplace, and the composition of the workforce cannot be guaranteed due to staff turnover
• OH&S signs and other visual aids are displayed in languages other than English. This does not necessarily demonstrate an understanding of OH&S issues and the applicant's ability to deal with any problems that may arise
• The applicant has attended OH&S courses, with or without the presence of an interpreter. Attendance in itself does not demonstrate an understanding of OH&S issues.
...
51 Based on these passages, the appellant advanced two submissions. First, she submitted that the statement or suggestion in the policy that the fact that an applicant and his or her co-workers came from the same cultural background and therefore the applicant does not require functional English to communicate with work colleagues is not an exceptional circumstance unlawfully constrains the meaning of exceptional circumstances. She submitted that there is no reason why that matter could not constitute an exceptional circumstance. Secondly, the appellant submitted that occupational, health and safety requirements were irrelevant to the question of exceptional circumstances and therefore the policy impermissibly identified an irrelevant consideration.
52 I reject the first submission. First, it is not clear to me that the policy unlawfully constrains the meaning of "exceptional circumstances" in the manner alleged in light of the comments of the majority in An v Minister for Immigration. Secondly, and in any event, I do not think the Tribunal applied the policy in an impermissible way. Without repeating them, I refer to the first two matters identified in paragraph 49 above in connection with the submission that the Tribunal had applied the policy in an impermissible way. In addition, the Tribunal's conclusions are expressed in terms of a balancing exercise, rather than in terms of the mechanical application of the requirements of the policy. The Tribunal said (at [54], [56], [57]):
The applicant claimed her lack of functional English was not an impediment to her work because she only worked with Mandarin staff in the kitchen and had never needed to train staff in English. She conceded she would only be able to train an English speaker through demonstrating the work required. Whilst acknowledging the past and current staff are Mandarin speaking, the Tribunal is concerned that the applicant's lack of functional English precludes her from passing on skills to English speaking employees in the future. The Tribunal finds it unacceptable that non-Cantonese [sic] speakers could be precluded from the workplace because they could not communicate with the head chef.
...
The Tribunal has taken into account the sponsor's evidence of the difficulties in attracting experienced chefs to the area. However, it is the Tribunal's view that this is outweighed by the concerns of the applicant's ability to transfer her skills and respond to an emergency.
Having considered the matters above, the Tribunal finds that exceptional circumstances do not apply in relation to the English requirements in this case. The Tribunal does not accept the applicant's circumstances are sufficiently unusual or out of the ordinary to constitute exceptional circumstances for the purposes of cl.857(b)(ii)(B) [sic].
(Emphasis added).
53 The Tribunal's observations in the first of these paragraphs does not support a conclusion that it excluded the language spoken in the workplace as a relevant consideration. The Tribunal took that matter into account, but it also took into account the other matters about which it said it was concerned. The Tribunal was not bound to conclude that the language spoken in the workplace was an exceptional circumstance.
54 I also reject the second submission. For reasons I give below, I do not think that the Tribunal took into account occupational health and safety matters (except to the extent that they overlapped with dealing with emergencies). In any event, in my opinion, it is a matter a decision-maker may take into account, but is not bound to do so.
55 Ground 1 of the notice of appeal must be rejected.