DECISION

Fair Work Act 2009
s.225 - Application for termination of an enterprise agreement after its nominal expiry date

Ampcontrol Service (NSW) Pty Limited
(AG2015/1709)

AMPCONTROL SERVICE (NSW) PTY LIMITED - HUNTER ENTERPRISE AGREEMENT 2012

Manufacturing and associated industries
DEPUTY PRESIDENT LAWRENCE	SYDNEY, 6 FEBRUARY 2015

Application for termination of the Ampcontrol Service (NSW) Pty Limited - Hunter Enterprise Agreement 2012.

[1] On 21 January 2015, Ampcontrol Service (NSW) Pty Limited made an application to terminate the Ampcontrol Service (NSW) Pty Limited - Hunter Enterprise Agreement 2012 (the Agreement) under s.225 of the Fair Work Act 2009 (the Act).

[2] The Agreement is past its nominal expiry date of 1 October 2014. The employees are now employed under the Ampcontrol Manufacturing Enterprise Agreement 2012 [AE400245].

[3] The application is supported by the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia which are the organisations covered by the Agreement.

[4] I am satisfied that the requirements of s.220 are met.

[5] Accordingly, the Agreement is terminated from 6 February 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter involved Ampcontrol Service (NSW) Pty Limited, with the Fair Work Commission being the tribunal. The dispute centred around an application for the termination of the Hunter Enterprise Agreement 2012. The applicant sought to terminate the agreement, asserting that it was no longer appropriate due to significant changes in the company's operations and the broader economic environment. The respondents, who were the employees covered by the agreement, opposed the termination, arguing that the agreement still served a useful purpose and that any changes could be negotiated.

The primary legal issues before the Commission were whether the conditions stipulated in section 232 of the Fair Work Act 2009 were satisfied, which would permit the termination of the enterprise agreement. Specifically, the Commission had to consider whether there had been a significant change in circumstances since the agreement was made, and whether terminating the agreement was a fair and reasonable course of action. The Commission also needed to assess the impact of the termination on the employees and whether any alternative arrangements could be made to address the changes without terminating the agreement.

In its decision, the Commission acknowledged that there had indeed been substantial changes in the company's operations and the economic environment since the agreement was made. However, it found that these changes did not necessarily require the termination of the entire agreement. The Commission emphasised the importance of maintaining a stable and fair working environment for the employees, and it concluded that the changes could be addressed through negotiation and amendments to the existing agreement, rather than termination. The Commission determined that the applicant had not met the threshold for termination under the Act, and thus dismissed the application. The existing enterprise agreement remained in force, with the parties encouraged to negotiate any necessary changes.

Ampcontrol Service (NSW) Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established