In employment law, it is often critical to determine whether a modern award or enterprise agreement applies to a person’s employment. This is the test, adumbrated in a Fair Work Commission decision.
“The proper approach to be taken to determining award coverage was discussed further recently in United Workers’ Union v Thrive Group Tasmania Inc [2026] FWCFB 7. Three observations were made by the Full Bench. First, the principal purpose test, which involves identifying the major and substantial aspect of an employee’s work to determine the appropriate award classification, is most useful when an employee undertakes mixed duties, and it is necessary to determine which classification or industrial instrument applies. The Full Bench noted that the principal purpose test is an aid in interpreting and applying the relevant industrial instrument and may not always be suitable, especially if the classifications are expressed in generic terms. Second, it is not necessary for an employee’s duties and responsibilities to precisely match every criterion in an award classification. Instead, the role should fall substantially within the scope of the classification described. A perfect fit is not required, as long as the role fairly represents the characteristics and typical duties/skills of the classification. Third, evidence about the actual work performed by the employee may provide context but does not override the classification descriptors in the award.”
Patel v Prospa Advance Pty Ltd [2026] FWC 2813 delivered 26 August 2026 per Slevin DP