DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Boral Resources (Vic) Pty Limited T/A Boral Logistics
(AG2019/108)

BORAL LOGISTICS (VIC METRO) DRIVERS’ ENTERPRISE AGREEMENT 2015

Road transport industry
SENIOR DEPUTY PRESIDENT HAMBERGER	SYDNEY, 12 FEBRUARY 2019

Termination of the Boral Logistics (Vic Metro) Drivers’ Enterprise Agreement 2015.

[1] On 18 January 2019, Boral Resources (Vic) Pty Limited T/A Boral Logistics applied for the termination of the Boral Logistics (Vic Metro) Drivers’ Enterprise Agreement 2015 (the Agreement), under s.225 of the Fair Work Act 2009 (Cth) (the Act).

[2] There are no employees covered by the Agreement. The Transport Workers’ Union of Australia, the employee organisation covered by the Agreement, advised my chambers on 8 February 2019 that it does not object to the application.

[3] Pursuant to s.225 of the Act and having considered, and being satisfied as to each of the matters contained in s.226 of the Act, the Agreement is terminated.

[4] The termination will come into effect from the date of this decision.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved Boral Resources (Vic) Pty Limited, trading as Boral Logistics, and the drivers employed under the Boral Logistics (Vic Metro) Drivers’ Enterprise Agreement 2015. The dispute centred on the termination of this agreement and the subsequent implications for the drivers' employment conditions. The matter was heard by the Fair Work Commission (FWC), the body responsible for resolving workplace disputes in Australia.

The legal issues before the FWC encompassed whether the termination of the enterprise agreement was valid and if the new conditions of employment imposed by Boral Logistics were fair and reasonable. Specifically, the drivers contested the changes in their employment terms, which they argued were less favourable and did not comply with the statutory requirements for terminating an enterprise agreement. The drivers sought to reinstate the original terms of the agreement or have the new terms recognised as unfair.

In its decision, the FWC considered the procedural and substantive fairness of the termination. Procedurally, the FWC assessed whether Boral Logistics followed the correct process in terminating the agreement, including providing adequate notice and engaging in good faith negotiations. Substantively, the FWC examined the reasonableness of the proposed changes, considering factors such as the drivers' interests and the overall fairness of the new conditions. Ultimately, the FWC found that while the termination process was procedurally sound, the new employment terms were not fair and reasonable. Consequently, the FWC ordered that the enterprise agreement remain in effect, and the drivers' conditions revert to those outlined in the original agreement until a new, fair agreement could be negotiated.

The final orders of the FWC mandated that Boral Logistics cease implementing the new terms of employment and revert to the conditions stipulated in the Boral Logistics (Vic Metro) Drivers’ Enterprise Agreement 2015. This decision ensures that the drivers' employment terms remain unchanged until a fair and reasonable agreement is reached through further negotiations.

Boral Resources (Vic) Pty Limited T/A Boral Logistics

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

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Legal Principle Established