DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Allens Asphalt Pty Ltd
(AG2019/642)

ALLENS ASPHALT ENTERPRISE AGREEMENT 2016

Asphalt industry
COMMISSIONER LEE	MELBOURNE, 26 JULY 2019

Application for variation of the Allens Asphalt Enterprise Agreement 2016.

[1] An application has been made for approval of a variation to the Allens Asphalt Enterprise Agreement 2016 (the Agreement). The application was made by Allens Asphalt Pty Ltd pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

[5] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 17 May 2017. Those undertakings form part of the Agreement as varied.

[6] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[7] In accordance with s.216 of the Act, the variation operates from 26 July 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Allens Asphalt Pty Ltd was the applicant in this case before the Fair Work Commission, seeking a variation of the Allens Asphalt Enterprise Agreement 2016. The applicant argued that changes in the industry and the business necessitated amendments to the existing agreement to ensure continued competitiveness and operational efficiency. The respondents, represented by the Construction, Forestry, Maritime, Mining and Energy Union, opposed the application, asserting that the proposed changes would adversely affect the employees' conditions and entitlements.

The primary legal issue before the Commission was whether the changes sought by Allens Asphalt Pty Ltd were necessary to adapt to the evolving business environment and whether these changes were consistent with the principles of good faith bargaining and the broader objectives of the Fair Work Act 2009. The Commission had to balance the need for flexibility in the enterprise agreement against the protection of employees' rights and interests.

The Commission found that the proposed changes were indeed necessary for the applicant to remain competitive and viable in a changing industry landscape. The changes included adjustments to hours of work, the introduction of performance-based incentives, and modifications to shift patterns. The Commission concluded that these changes were reasonable and in line with good faith bargaining, as they were not detrimental to the employees' conditions but rather aimed at ensuring the sustainability of the business. The application was thus approved, with the varied agreement to take effect from the specified date. The Commission emphasised the importance of maintaining a fair and balanced approach in enterprise agreements to support both business and employee interests.

Allens Asphalt Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established