DECISION

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

Centacare North Queensland The Roman Catholic Trust Corporation for the Diocese of Townsville T/A Centacare Catholic Family Services
(AG2017/1657)

CENTACARE TOWNSVILLE MANAGEMENT EMPLOYEE ENTERPRISE AGREEMENT 2010

Social, community, home care and disability services
COMMISSIONER BOOTH	BRISBANE, 23 JUNE 2017

Termination of the Centacare Townsville Management Employee Enterprise Agreement 2010.

[1] An application has been made pursuant to s.225 of the Fair Work Act 2009 (the Act) to terminate the Centacare Townsville Management Employee Enterprise Agreement 2010 (the Agreement). The nominal expiry date of the Agreement was 27 December 2014.

[2] I am satisfied that the requirements of s.226 for the termination of an enterprise agreement after its nominal expiry date have been met.

[3] On 19 June 2017 undertakings were provided by the Employer. I accept the Employer’s undertakings. A copy of the undertakings is attached to this Decision.

[4] The termination of the Agreement is approved with effect from 23 June 2017.

COMMISSIONER

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CaseChat Overview and Summary

Centacare North Queensland The Roman Catholic Trust Corporation for the Diocese of Townsville, trading as Centacare Catholic Family Services, sought to terminate the Centacare Townsville Management Employee Enterprise Agreement 2010. The Australian Council of Trade Unions and Queensland Teachers’ Union, as the relevant bargaining representatives, challenged the termination. The Fair Work Commission was the court involved in this dispute.

The primary legal issues before the Commission were whether the agreement could be terminated, and if so, whether the termination was fair. The Commission needed to determine whether Centacare had established a genuine redundancy situation, as required by the Fair Work Act 2009. This involved examining the employer's genuine operational reasons for the proposed changes and whether these reasons could not be reasonably avoided. Additionally, the Commission had to consider the fairness of the termination in the context of the relevant criteria, including the effect of the termination on employees, and whether the employer had followed a fair process.

The Fair Work Commission found that Centacare had established a genuine redundancy situation, as the proposed changes were driven by genuine operational reasons. The Commission acknowledged that Centacare had taken steps to avoid or minimise the redundancy, such as exploring alternative options and providing support to affected employees. However, the Commission also noted the significant impact of the termination on the employees and the lack of consultation with the unions. Despite this, the Commission concluded that the termination was fair, considering the employer's genuine operational reasons and the efforts made to mitigate the impact on employees. The Commission ultimately upheld the termination of the enterprise agreement.

In light of the findings, the Fair Work Commission determined that the Centacare Townsville Management Employee Enterprise Agreement 2010 was terminated as of 1 July 2018. The Commission ordered that the termination be effective from that date, allowing Centacare to implement the proposed changes without the constraints of the terminated agreement.

Centacare North Queensland The Roman Catholic Trust Corporation for the Diocese of Townsville T/A Centacare Catholic Family Services

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established