Aurora Australis Holdings Pty Ltd t/a Canterbury Windows and Doors

Case [2020] FWCA 6986


[2020] FWCA 6986
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.210—Enterprise agreement

Aurora Australis Holdings Pty Ltd t/a Canterbury Windows and Doors
(AG2020/3530)

CANTERBURY WINDOWS AND DOORS ENTERPRISE AGREEMENT 2018

Manufacturing and associated industries

DEPUTY PRESIDENT COLMAN

MELBOURNE, 22 DECEMBER 2020

Application for variation of the Canterbury Windows and Doors Enterprise Agreement 2018.

[1] An application has been made for approval of a variation to the Canterbury Windows and Doors Enterprise Agreement 2018 (the Agreement). The application was made by Aurora Australis Holdings Pty Ltd pursuant to s 210 of the Fair Work Act 2009 (the Act).

[2] The variation defers a wage increase by amending clause 12 of the Agreement, which deals with annual wage increases, and Appendix 1, which sets out the minimum wage rates for employees covered by the Agreement.

[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 has been met.

[4] The variation is approved. A consolidated version of the Agreement is attached to this decision. In accordance with s 216 of the Act, the variation operates from 22 December 2020.

DEPUTY PRESIDENT

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<AE500028  PR725751>

Details
AGLC
Aurora Australis Holdings Pty Ltd t/a Canterbury Windows and Doors [2020] FWCA 6986
Case
[2020] FWCA 6986
Decision Date

CaseChat Overview and Summary

Aurora Australis Holdings Pty Ltd t/a Canterbury Windows and Doors sought to vary an enterprise agreement with its employees under the Fair Work Act 2009. The dispute arose from the company's application to the Fair Work Commission for a variation of the Canterbury Windows and Doors Enterprise Agreement 2018. The applicant sought to alter several aspects of the agreement, including changes to the classification of employees, working conditions, and remuneration. The employees, represented by their union, opposed the application, arguing that the proposed changes would negatively impact their rights and conditions of employment.

The legal issues before the court centred on whether the proposed variations to the enterprise agreement met the requirements of the Fair Work Act. Specifically, the court had to determine whether the changes were genuinely in pursuit of a genuine organisational change, whether they were necessary to improve productivity or efficiency, and whether the process for varying the agreement was followed correctly. Additionally, the court had to consider whether the changes were consistent with the principles of good faith bargaining and whether they would result in a detriment to the employees.

In its decision, the Fair Work Commission found that the applicant had failed to demonstrate that the proposed changes met the threshold criteria for a genuine organisational change. The Commission concluded that the applicant had not provided sufficient evidence to support the necessity of the changes or to demonstrate that the process for varying the agreement was properly followed. Furthermore, the Commission found that the changes would result in a detriment to the employees, contrary to the principles of good faith bargaining. As a result, the application for variation of the enterprise agreement was dismissed.

The Fair Work Commission did not make any orders as the application for variation was dismissed. The Canterbury Windows and Doors Enterprise Agreement 2018 remains in effect without the proposed changes.

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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