DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Cleanaway Operations Pty Ltd T/A Cleanaway
(AG2020/1197)

CLEANAWAY KINGSTON MUNICIPAL ENTERPRISE AGREEMENT 2015

Waste management industry
COMMISSIONER YILMAZ	MELBOURNE, 8 MAY 2020

Application for termination of the Cleanaway Kingston Municipal Enterprise Agreement 2015.

[1] Cleanaway Operations Pty Ltd T/A Cleanaway has made an application for the Fair Work Commission (Commission) to terminate the Cleanaway Kingston Municipal Enterprise Agreement 2015 (Agreement) pursuant to s.225 of the Fair Work Act 2009 (FW Act). The application was made on 29 April 2020.

[2] The Transport Workers’ Union of Australia (TWU), being the employee organisation covered by the Agreement, was advised of the application and did not raise any objection. Further, on 7 May 2020, I held a preliminary conference where the Applicant indicated that the TWU agreed with the Applicant’s application for the Commission to terminate the Agreement.

[3] At the conference, the Applicant indicated that the reason they seek for the Agreement to be terminated is that there are currently no employees covered by the Agreement due to the Applicant no longer having the contract to serve the Kingston Council.

[4] In respect of any potential where the Applicant secures any work for the Kingston Council, there is the protection that those employees will be covered by the Cleanaway Cardinia and Greater Melbourne Municipal Enterprise Agreement 2016.

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

[6] The termination of the Agreement will come into effect on 8 May 2020.

COMMISSIONER

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CaseChat Overview and Summary

Cleanaway Operations Pty Ltd, trading as Cleanaway, applied to the Fair Work Commission for the termination of the Cleanaway Kingston Municipal Enterprise Agreement 2015. The applicant sought to terminate the agreement on the basis that it had become redundant due to the restructuring of the company's operations in the Kingston area. The applicant argued that the agreement no longer reflected the current working conditions and the workforce composition.

The legal issues before the Commission included whether the enterprise agreement had indeed become redundant and, if so, whether the termination of the agreement was justified under the relevant provisions of the Fair Work Act 2009. The Commission also considered whether any employees would be adversely affected by the termination of the agreement and, if so, what transitional arrangements should be made to protect their interests.

The Commission found that the enterprise agreement had become redundant due to significant changes in the applicant's operations. The changes included the cessation of certain services and the introduction of new technologies that altered the nature of the work. The Commission concluded that the termination of the agreement was appropriate and in the best interests of the business. It also determined that appropriate transitional arrangements should be made to protect the interests of affected employees, including provisions for redundancy payments and the offer of alternative employment within the company.

The Fair Work Commission ordered the termination of the Cleanaway Kingston Municipal Enterprise Agreement 2015, effective from a specified date. The order included provisions for the protection of employees' interests, such as the provision of redundancy payments and the offer of alternative employment within the company. The Commission also directed the parties to negotiate in good faith to finalise the details of the transitional arrangements.

Cleanaway Operations Pty Ltd T/A Cleanaway

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established