Background
W T H Pty Ltd, trading as Avis Car Rentals, sought declarations about the modern award coverage of its Vehicle Service Agents (VSAs) and Rovers, also called Customer Service Representatives or Vehicle Return Agents. The Fair Work Ombudsman contended that the General Retail Industry Awards applied; Avis contended that the Vehicle Manufacturing, Repair, Services and Retail Award 2010 and its 2020 successor applied.
VSAs clean and detail returned cars, inspect them for damage, fuel, tyre and windscreen issues, perform low-level servicing tasks, and move vehicles within Avis work areas. Rovers check in returned vehicles, record mileage and fuel, inspect for damage and lost property, and deal with customers about return-related issues. Avis said the dispute mattered because retail-award coverage could mean employees had been underpaid.
The Court’s Holding
Raper J allowed Avis’ application. The Court declared that the 2010 Vehicle Award covered Avis employees working as VSAs and Rovers from 1 January 2010 to 10 May 2020, and that the 2020 Vehicle Award covered them from 11 May 2020 onward, in each case to the exclusion of other modern awards.
The relevant coverage clauses were directed to the part of a car-rental business principally connected with or concerned with the repair and servicing of motor vehicles, rather than Avis’ entire operation. VSAs and Rovers worked in that part of the business because their cleaning, inspection, low-level maintenance and vehicle-triage work was materially connected with repair and servicing. Their roles also fitted Vehicle Award classifications, including car cleaner/washer, detailer, driveway attendant, or employee not elsewhere prescribed.
Key Takeaways
- A vehicle-rental business may have only part of its operations covered by the Vehicle Awards.
- Cleaning, inspection and triage work can be sufficiently connected with vehicle repair and servicing for award-coverage purposes.
- The 2010 Vehicle Award could not apply before its 1 January 2010 commencement date.
Why It Matters
The decision illustrates that award coverage depends on the actual work and the relevant part of an employer’s establishment, plant or undertaking—not simply the business’s primary commercial activity. In a car-rental business, customer-facing and rental-sales roles may be treated differently from employees whose work supports vehicle servicing and repair.
For employers and employment practitioners, the ruling highlights the need to test award classifications against employees’ day-to-day duties, particularly where an award’s coverage clause excludes other modern awards.