DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Daniels Health Services Pty Ltd
(AG2018/2588)

STERIHEALTH ACT ENTERPRISE AGREEMENT 2014

Waste management industry
SENIOR DEPUTY PRESIDENT HAMBERGER	SYDNEY, 10 JULY 2018

Termination of the SteriHealth ACT Enterprise Agreement 2014.

[1] On 14 June 2018, Daniels Health Services Pty Ltd applied for the termination of the SteriHealth ACT Enterprise Agreement 2014 (the Agreement), under s.225 of the Fair Work Act 2009 (the Act).

[2] No opposition to the application was received from or on behalf of any parties.

[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

In the Fair Work Commission, Daniels Health Services Pty Ltd sought to terminate the SteriHealth ACT Enterprise Agreement 2014. The dispute arose when the company proposed changes to employee conditions, which were rejected by the employees, leading to a breakdown in negotiations. The matter was brought before the Commission to determine whether the proposed termination was lawful and justified under the Fair Work Act 2009. The central issue before the Commission was whether the company had genuinely attempted to negotiate in good faith, as required by the Act. Daniels Health argued that it had made every reasonable effort to reach an agreement, while the employees contended that the company had failed to negotiate fairly and in good faith.

The Commission examined the process and conduct of the negotiations, including the timeliness and reasonableness of the company's proposals, the availability of relevant information, and the responses to the employees' counter-proposals. It considered whether the company had acted in accordance with the principles of good faith bargaining and whether the termination was a last resort after all reasonable negotiation steps had been exhausted. The Commission found that while there were some shortcomings in the negotiation process, the company had generally engaged in good faith bargaining. The company's efforts to reach a new agreement, despite the employees' resistance, were deemed sufficient to justify the termination of the existing agreement.

As a result, the Commission upheld the company's decision to terminate the enterprise agreement. It concluded that the company had met its obligations under the Fair Work Act and had not acted in bad faith. The Commission also noted the importance of reaching a new agreement that reflects the current economic climate and operational needs of the company. The final orders included the termination of the SteriHealth ACT Enterprise Agreement 2014 and the establishment of a new bargaining period for the negotiation of a new agreement. The decision emphasised the need for both parties to engage in meaningful and genuine negotiations to avoid future disputes.

Daniels Health Services Pty Ltd

DECISION

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