Target Australia Pty Ltd v Shop, Distributive and Allied Employees' Association [2023] FCAFC 66

Federal Court of Australia Target Australia Pty Ltd v Shop, Distributive and Allied Employees' Association [2023] FCAFC 66 Appeal from: Shop, Distributive and Allied Employees' Association v Target Australia Pty Ltd [2021] FCA 1038 Shop, Distributive and Allied Employees' Association v Target Australia Pty Ltd (No 2) [2021] FCA 1422

File number: WAD 280 of 2021

Judgment of: BROMBERG, JACKSON AND FEUTRILL JJ

Date of judgment: 10 May 2023

Catchwords: INDUSTRIAL LAW – construction of enterprise agreement provision providing paid annual leave to part-time and full-time employees – meaning of 'ordinary time earnings' – whether 'ordinary time earnings' for purpose of calculating payment for annual leave includes penalties and loadings prescribed for employees working their ordinary hours outside of the span of ordinary hours of the workplace, or alternatively only includes payment at the employee's ordinary hourly rate of pay – purpose of annual leave loading – application of principles of construction for industrial agreements – common understanding as an aide to construing enterprise agreements – whether past payment practices sufficiently considered – whether 'ordinary time earnings' for purpose of calculating annual leave includes over-award payments – whether definition of 'ordinary time earnings' placed elsewhere in the enterprise agreement applies in respect of the use of that phrase in the provision providing paid annual leave – purpose of paid annual leave – appeal dismissed – cross-appeal dismissed

Legislation: Fair Work Act 2009 (Cth) ss 16(1), 16(2), 20, 55(1), 56, 90(1), 324 Superannuation Guarantee (Administration) Act 1992 (Cth) s 6(1) Explanatory Memorandum, Fair Work Bill 2008 (Cth) Target Australia Pty Ltd Award 1994