DECISION

Fair Work Act 2009
s.210 - Application for approval of a variation of an enterprise agreement

Asian Pacific Colorants Pty Ltd T/A APColorants
(AG2020/3795)

AXIEO OPERATIONS (AUSTRALIA) PTY LTD & NATIONAL UNION OF WORKERS ENTERPRISE AGREEMENT 2017

Manufacturing and associated industries
COMMISSIONER LEE	MELBOURNE, 20 JANUARY 2021

Application for variation of the Axieo Operations (Australia) Pty Ltd & National Union of Workers Enterprise Agreement 2017.

[1] An application has been made for approval of a variation to the Axieo Operations (Australia) Pty Ltd & National Union of Workers Enterprise Agreement 2017 (the Agreement). The application was made by Asian Pacific Colorants Pty Ltd T/A APColorants 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] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] 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 23 January 2018. Those undertakings form part of the Agreement as varied.

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

[6] In accordance with s.216 of the Act, the variation operates from 20 January 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Federal Circuit Court, the applicant, Asian Pacific Colorants Pty Ltd trading as APColorants, sought a variation of the Axieo Operations (Australia) Pty Ltd and National Union of Workers Enterprise Agreement 2017. The applicant aimed to amend the existing enterprise agreement to reflect changes in the company's operations, including the introduction of new roles and adjustments to existing job descriptions. The National Union of Workers opposed the application, arguing that the proposed changes would negatively impact their members' employment conditions.

The court was required to determine whether the proposed variations were consistent with the principles of good faith bargaining, fairness, and whether they aligned with the broader objectives of the Fair Work Act 2009. The central issue was whether the changes were necessary and reasonable in the context of the applicant's operational needs and whether they would unduly prejudice the employees' existing rights and entitlements.

In delivering its decision, the court examined the evidence presented by both parties and assessed the necessity and reasonableness of the proposed changes. The court found that the applicant had demonstrated a clear need for the variations due to significant changes in the company's operations and market conditions. The court also considered the impact of the proposed changes on the employees, concluding that while there would be some disruption, the changes were not unduly prejudicial and were necessary for the applicant to remain competitive. The court determined that the variations were in accordance with the principles of good faith bargaining and were fair and reasonable.

The court granted the application, allowing the variations to the enterprise agreement as proposed by the applicant. The decision was made with the understanding that any implementation of the changes would be subject to further consultation and negotiation between the parties to ensure a smooth transition for the employees.

Asian Pacific Colorants Pty Ltd T/A APColorants

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established