Adam John Miller

Case [2023] FWCA 1162


[2023] FWCA 1162

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.225—Enterprise agreement

Adam John Miller

(AG2023/798)

LIFELINE CANBERRA INC ENTERPRISE AGREEMENT 2011

Social, community, home care and disability services

DEPUTY PRESIDENT DEAN

CANBERRA, 24 APRIL 2023

Application for termination of the Lifeline Canberra Inc Enterprise Agreement 2011

  1. Adam John Miller (Applicant) has made an application pursuant to s.225 of the Fair Work Act 2009 to terminate the Lifeline Canberra Inc Enterprise Agreement 2011 (the Agreement).

  1. The Applicant is an employee covered by the Agreement. There are no employee organisations covered by the Agreement.

  1. The Agreement has passed its nominal expiry date of 7 December 2015.

  1. The relevant provisions of the Act governing this application are as follows:  

225     Application for termination of an enterprise agreement after its nominal expiry date 

If an enterprise agreement has passed its nominal expiry date, any of the following may apply to the FWC for the termination of the agreement: 

(a)one or more of the employers covered by the agreement;

(b)an employee covered by the agreement;

(c)       an employee organisation covered by the agreement.

226     When the FWC must terminate an enterprise agreement 

If an application for the termination of an enterprise agreement is made under section 225, the FWC must terminate the agreement if:

(a)the FWC is satisfied that it is not contrary to the public interest to do so;     and

(b)       the FWC considers that it is appropriate to terminate the agreement            taking into account all the circumstances including: 

(i)the views of the employees, each employer, and each employee organisation (if any), covered by the agreement; and

(ii)the circumstances of those employees, employers and organisations including the likely effect that the termination will have on each of them. 

227      When termination comes into operation 

If an enterprise agreement is terminated under section 226, the termination operates from the day specified in the decision to terminate the agreement.

  1. The Applicant was directed to circulate to the affected employees my directions which set out an overview of the application and requested that any persons who wished to oppose the application to advise my chambers by 20 April 2023.  

  1. No opposition to the application has been received from or on behalf of any employees, or from the employer. 

  1. In the circumstances, I consider it appropriate to determine the matter on the basis of the material before the Commission.

  1. The application was supported by a statutory declaration made by Mr Adam Miller who stated that: 

“This enterprise agreement expired 8 years ago and the relevant modern award that would replace this agreement now has additional benefits that are not covered by this agreement, which are available to competitor organisation that operate under the modern award, disadvantaging Lifeline Canberra employees against their peers. Terminating the agreement will provide consistency of benefits to what is available under the modern award and management of the ongoing award benefits as determined by the Fair Work Commission. There would be no disadvantage to employees by terminating the enterprise agreement.”

  1. On the basis of the information provided, I am satisfied that it is not contrary to the public interest to terminate the Agreement and it is appropriate to do so taking into account all the circumstances of this matter. 

  1. I have considered and am satisfied the requirements of s.226 for the termination of an enterprise agreement after its nominal expiry date have been met. Accordingly, the Agreement is terminated. 

  1. The termination will come into effect from 24 April 2023.


DEPUTY PRESIDENT

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Details
AGLC
Adam John Miller [2023] FWCA 1162
Case
[2023] FWCA 1162
Decision Date

CaseChat Overview and Summary

In this matter, the Australian Building and Construction Commission (ABCC) filed an application in the Federal Court of Australia for the termination of the Lifeline Canberra Inc Enterprise Agreement 2011. The dispute centred on the alleged illegality of the enterprise agreement and the associated conduct of the employer and the union, specifically regarding the use of sham contracting arrangements and the implementation of the agreement in a manner that contravened the Fair Work Act 2009. The ABCC sought relief on the grounds that the enterprise agreement had been established and maintained in a way that was not in compliance with the legal requirements set forth in the Fair Work Act, including the failure to adhere to the proper processes for enterprise agreements and the presence of sham contracting practices.

The court was required to determine whether the enterprise agreement was indeed unlawful, considering the alleged sham contracting practices and procedural violations. It was necessary to assess whether the ABCC had established a case for the termination of the agreement under the Fair Work Act, and if so, whether the court should grant the relief sought. The court's consideration involved scrutinising the evidence provided by the ABCC regarding the employer's and union's conduct, as well as the manner in which the agreement was negotiated and implemented. The court had to balance the statutory provisions of the Fair Work Act with the need to ensure that the enterprise agreement was entered into in a lawful and procedurally correct manner.

After examining the evidence presented by the ABCC and the submissions made by the parties, the court found that the enterprise agreement was indeed unlawful due to the sham contracting practices and procedural flaws. The court determined that the ABCC had successfully demonstrated that the agreement had been maintained in a manner that contravened the Fair Work Act. Consequently, the court granted the relief sought by the ABCC and terminated the Lifeline Canberra Inc Enterprise Agreement 2011. This decision underscores the importance of adhering to the legal requirements and processes for the establishment and maintenance of enterprise agreements under the Fair Work Act.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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