Chubb Fire & Security Pty Ltd T/A Chubb Fire Safety

[2019] FWCA 5304

[2019] FWCA 5304

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Chubb Fire & Security Pty Ltd T/A Chubb Fire Safety
(AG2019/2346)

CHUBB FIRE AND SECURITY PERTH SYSTEMS SPRINKLER FITTERS COLLECTIVE AGREEMENT 2012-2015

Plumbing industry
DEPUTY PRESIDENT BINET	PERTH, 6 AUGUST 2019

Application for termination of the Chubb Fire and Security Perth Systems Sprinkler Fitters Collective Agreement 2012-2015.

[1] Chubb Fire & Security Pty Ltd T/A Chubb Fire Safety (Chubb)has made an application (Application) to the Fair Work Commission (FWC) to terminate the Chubb Fire and Security Perth Systems Sprinkler Fitters Collective Agreement 2012-2015 (Agreement) pursuant to section 225 of the Fair Work Act 2009 (Cth) (FW Act).

[2] The Agreement is a single enterprise agreement made pursuant to section 185 of the FW Act with a nominal expiry date of 31 December 2015.

[3] The parties to the Agreement are Chubb and all employees in Perth (WA) who are employed by the systems business as Sprinkler Fitters, Sprinkler Fitters Assistants or Apprentices (Employees).

[4] The former, CEPU (Plumbing Division) Western Australian Branch and now, the Plumbing and Pipe Trades Employees Union (PPTEU) is covered by the Agreement.

[5] Section 225 of the FW Act states:

“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.”

[6] Section 226 of the FW Act states:

“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.”

[7] In support of the Application, Chubb filed a statutory declaration by Mr David Cunneen (Cunneen Declaration).

[8] On 11 July 2019, Directions were issued with respect to the Application. Chubb was directed to file inter alia an outline of submissions as to why the Agreement should be terminated which addresses the requirements of section 226 of the FW Act and any evidence on which Chubb seeks to rely in support of the Application.

[9] The Directions invited PPTEU to file inter alia an outline of submissions in response to the Application and any evidence on which PPTEU seeks to rely, including but not limited to: whether PPTEU supports or opposes the Application; what the effect of the termination of the Agreement would be on the PPTEU; and whether it is contrary to the public interest to terminate the Agreement, by Thursday 25 July 2019. If no such contact was made, it was advised that a conclusion about the Application would be made on the written materials filed in accordance with the Directions.

[10] No contact has been made to Chambers from PPTEU with respect to the Application up to the date of this decision.

Consideration

[11] As the Agreement has passed its nominal expiry date and the Applicant is an employer covered by the Agreement, I find that Chubb has standing to make the Application pursuant to section 225(a) of the FW Act.

[12] The Cunneen Declaration states that there are no individuals employed under the Agreement and all current and future Employees are covered by a new enterprise agreement, the Chubb Fire and Security Perth Sprinkler Fitters Collective Agreement 2018-2021 (2018 Agreement). The 2018 Agreement was approved by the FWC on 4 June 2019 and commenced operation on 11 June 2019.

[13] Chubb submit that leaving redundant enterprise agreements in operation may cause unnecessary confusion as to the proper agreement to be applied for employee coverage and entitlements. They also submit that the termination is in the interests of the Employees because Employees are better off under the 2018 Agreement.

[14] Based on the material filed in support of this Application, there is nothing before me that raises public interest considerations which might weigh against the termination of the Agreement. I am therefore satisfied that it is not contrary to the public interest to terminate the Agreement.

[15] No opposition to the Application was received by the union organisation covered by the Agreement. There are no employees covered by the Agreement. Based on the material filed in support of the Application I am satisfied that it is appropriate to terminate the Agreement.

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

[17] The termination will come into effect from 6 August 2019.

DEPUTY PRESIDENT

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