Beaumont Stabilising Pty Ltd

[2021] FWCA 1269

[2021] FWCA 1269

FAIR WORK COMMISSION

DECISION

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

Beaumont Stabilising Pty Ltd
(AG2021/3973)

BEAUMONT STABILISING PTY LTD ENTERPRISE AGREEMENT 2012

Building, metal and civil construction industries
COMMISSIONER SPENCER	BRISBANE, 11 MARCH 2021

Application for termination of the Beaumont Stabilising Pty Ltd.

[1] An application pursuant to s.225 of the Fair Work Act 2009 (the Act) was made by Beaumont Stabilising Pty Ltd (the Applicant) to terminate the Beaumont Stabilising Pty Ltd Enterprise Agreement 2012 (the Agreement).

[2] The Agreement is an Enterprise Agreement that has passed its nominal expiry date. The nominal expiry date for the Agreement was 21 August 2015.

[3] Sections 225 and 226 of the Act provide:

“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.”

[4] Mr Peter Beaumont, Managing Director for the Applicant, filed a Form 24C Statutory Declaration in support of the application to terminate the Agreement. Mr Beaumont stated that the termination of the Agreement would not have any effect on the employees, as it expired in 2015, and since then the employees have been paid significantly above the terms and conditions contained in the Agreement.

[5] Mr Beaumont stated on behalf of the Applicant, that the termination of the Agreement coincided with the sale of the business, and those two employees covered by the Agreement, who are transferring to the new owner, will transfer on greater terms and conditions than those of the Agreement.

[6] The Applicant provided two letters, dated 10 March 2021, from the two employees who are currently covered by the Agreement. These letters provided written confirmation from the employees that they understood the effects and that they agreed to the termination of the Agreement.

[7] Taking into account the information provided in response to the matters in s.226 of the Act, and in accordance with the above submissions, I consider it appropriate to terminate the Agreement on the basis that the material satisfies the legislative requirements. The application is therefore granted, and the Agreement is terminated. The termination of the Agreement will take effect from 11 March 2021.

[8] I Order accordingly.

COMMISSIONER

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