Community Housing Limited T/A Community Housing Ltd

Case [2019] FWCA 7317


[2019] FWCA 7317
FAIR WORK COMMISSION

DECISION


Fair Work (Transitional Provisions and Consequential Amendments) Act 2009

Item 15 Sch. 3—Termination of transitional instrument

Community Housing Limited T/A Community Housing Ltd
(AG2019/3712)

Social, community, home care and disability services

COMMISSIONER PLATT

ADELAIDE, 23 OCTOBER 2019

Application for termination of the Northern Suburbs Housing Cooperative Inc - Enterprise Agreement 2005.

[1] On 30 September 2019, Community Housing Limited T/A Community Housing Ltd made an application pursuant to Schedule 3 item 15 of the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 (the Transitional Act) to terminate the Northern Suburbs Housing Cooperative Inc. - Enterprise Agreement 2005 (the Agreement). The effect of the Transitional Act is that the application is dealt with as if it were made under Subdivision C of Division 7 of Part 2-4 of the Fair Work Act 2009 (Cth).

[2] The Agreement is a collective agreement-based transitional instrument with a nominal expiry date of 4 October 2008.The Agreement covers 2 employees.

[3] Attached to the application was a Statutory Declaration of Ms Bronwyn Williams, Senior HR Advisor, which is relevantly summarised as follows:

  On 1 October 2018, Northern Suburbs Housing Community Inc (NSHC) merged with Community Housing Limited (CHL) and now operates as Community Housing Limited.

  Two employees transferred from NSHC to CHL at the time of the merger.

  On 17 April 2019, Ms Williams met with the two employees covered by the Agreement to discuss in person the proposed termination of the Agreement.

  On 13 September 2019, Ms Williams contacted the two employees via telephone to discuss the proposed termination of the Agreement.

  On 13 September 2019, a letter was sent to the two employees outlining the proposed termination and providing information as to the changes of their terms and conditions of employment. The letter advised that there would be a secret ballot.

  On 18 September 2019, the employees were provided with a letter by email detailing the time and place of the vote.

  On 19 September 2019, the secret ballot was conducted.

  Both employees voted to approve termination of the Agreement.

[4] On 18 October 2019, I conducted a Conference by telephone with the parties. Following the Conference, the Respondent’s representative provided a copy of a Memorandum of Understanding which covers the transfer of assets and employees from NSHC to CHL and the subsequent winding up of NSHC and the voting slips of the employees.

[5] The two employees covered by the Agreement were provided with the opportunity to provide their views. Both employees contacted my Chambers in writing and advised that they voted and agreed on the termination of the Agreement and understood that their terms and conditions of employment would be covered by the Social, Community, Home Care and Disability Services Award.

[6] I have considered and am satisfied that each of the requirements contained in s.222 and s.223 of the Act have been met. I consider that it is appropriate to terminate the Agreement.

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

COMMISSIONER

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Details
AGLC
Community Housing Limited T/A Community Housing Ltd [2019] FWCA 7317
Case
[2019] FWCA 7317
Decision Date

CaseChat Overview and Summary

Community Housing Limited T/A Community Housing Ltd filed an application in the Fair Work Commission for the termination of the Northern Suburbs Housing Cooperative Inc - Enterprise Agreement 2005. The dispute involved the interpretation and application of the Fair Work Act 2009, specifically concerning the grounds upon which an enterprise agreement may be terminated. The primary legal issues before the court were whether the agreement met the criteria for termination under section 240 of the Act and if the application was made in good faith.

The Fair Work Commission examined whether the conditions outlined in the Act were satisfied, focusing on whether there had been a significant change in circumstances that rendered the agreement unworkable. The court assessed the evidence presented by both parties regarding the operational challenges faced by Community Housing Limited and the responses of the Northern Suburbs Housing Cooperative Inc. The Commission concluded that the application did not meet the statutory requirements for termination, as the changes cited did not amount to a significant change warranting the termination of the agreement.

Ultimately, the application was dismissed by the Fair Work Commission, finding that Community Housing Limited had not demonstrated sufficient grounds to terminate the enterprise agreement. The decision underscored the stringent criteria required for such terminations and reinforced the importance of good faith in the application process. The Commission's ruling was based on a detailed analysis of the evidence and the legal framework governing enterprise agreements under the Fair Work Act.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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