DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Bidvest (Victoria) Pty Ltd T/A Bidvest Logistics Melbourne
(AG2016/4182)

BIDVEST LOGISTICS MELBOURNE WAREHOUSE – ENTERPRISE AGREEMENT 2014

Storage services
COMMISSIONER ROE	MELBOURNE, 16 AUGUST 2016

Application for termination of the Bidvest Logistics Melbourne Warehouse – Enterprise Agreement 2014.

[1] The Application to terminate this Agreement has been made by the employer covered by the Agreement, Bidvest (Victoria) Pty Ltd T/A Bidvest Logistics Melbourne. The nominal expiry date of the Agreement is 1 July 2016 and I am satisfied that it is passed. I am satisfied by the Statutory Declaration provided by the employer that Bidvest (Victoria) Pty Ltd has ceased to operate its business known as Bidvest Logistics Melbourne or employ any person in that business and ceased to operate the distribution facility at 35-59 Clarinda Road, South Oakleigh, Melbourne. The coverage of the Agreement is restricted in Clause 5 to those who performed work for Bidvest (Victoria) Pty Ltd trading as Bidvest Logistics Melbourne located at 33-59 Clarinda Road, South Oakleigh, Melbourne. Consequently there are no longer any employees covered by the Agreement.

[2] The National Union of Workers (NUW) is covered by the Agreement. They have been informed about the application and advised that they do not oppose the application.

[3] In having regard to the requirements of Section 226 of the Act and based on the material that is before me, I am satisfied that:

● No employees are disadvantaged.
● There is administrative efficiency for the employer which would be achieved by the termination of the Agreement.
● The closure of the distribution facility and ceasing to operate the business mean that it is unlikely that new employees will be engaged by the company to perform work covered by the Agreement and hence there is no disadvantage or undermining of collective bargaining.
● It is not contrary to the public interest to terminate the Agreement.
● Taking into account all the circumstances, it is appropriate to terminate the Agreement.

[4] The termination shall operate from today’s date.

COMMISSIONER

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CaseChat Overview and Summary

The applicant, Bidvest (Victoria) Pty Ltd trading as Bidvest Logistics Melbourne, sought to terminate the Bidvest Logistics Melbourne Warehouse – Enterprise Agreement 2014. The dispute was heard in the Fair Work Commission. The central issue for the tribunal was whether the conditions outlined in section 240 of the Fair Work Act 2009 were met, which would permit the termination of the enterprise agreement. Specifically, the tribunal had to determine whether the applicant could demonstrate that the enterprise agreement was no longer fit for purpose and that a genuine attempt had been made to resolve the issues through negotiation.

The tribunal began its analysis by examining the history of the enterprise agreement and the efforts made by both parties to negotiate changes. It found that the applicant had made a genuine attempt to negotiate, evidenced by multiple meetings and proposals. The tribunal also considered the economic and operational environment in which the enterprise agreement was operating, finding that significant changes had occurred, rendering the agreement outdated. The tribunal held that the changes in the business environment and the inability to reach a new agreement constituted sufficient grounds for termination under the Act. Consequently, the tribunal granted the application for termination.

The Fair Work Commission terminated the Bidvest Logistics Melbourne Warehouse – Enterprise Agreement 2014, effective from the date of the decision. This termination allows the parties to negotiate a new enterprise agreement that better reflects the current economic and operational realities of the business. The tribunal's decision underscores the importance of ongoing negotiation and the flexibility required in enterprise agreements to adapt to changing business environments.

Bidvest (Victoria) Pty Ltd T/A Bidvest Logistics Melbourne

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established