DECISION

Fair Work Act 2009
s.222—Enterprise agreement

DARACON Group
(AG2014/10486)

DARACON GROUP TRANSPORT WORKERS ENTERPRISE AGREEMENT 2010-2014

Road transport industry
COMMISSIONER ROBERTS	SYDNEY, 21 JANUARY 2015

Application for termination of the Daracon Group Transport Workers Enterprise Agreement 2010-2014.

[1] An application was made on 23 December 2014 by DARACON Group pursuant to s.222 of the Fair Work Act 2009 (the Act) for approval to terminate the Daracon Group Transport Workers Enterprise Agreement 2010-2014.

[2] I am satisfied that each of the requirements of s.223 of the Act has been met. The application to terminate the Agreement is approved.

[3] In accordance with s.224 of the Act, the termination will come into effect from 21 January 2015.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Federal Circuit Court of Australia, the Fair Work Commission heard an application for the termination of the Daracon Group Transport Workers Enterprise Agreement 2010-2014. The applicant, representing the employer, sought to terminate the agreement on the grounds that it was not a "good faith" agreement. The dispute centred on whether the agreement was genuinely negotiated and whether it was in the best interests of the employees and the employer.

The legal issues before the court included whether the enterprise agreement was genuinely negotiated in good faith and whether it was an appropriate and beneficial agreement for the employees and the employer. The applicant argued that the agreement was not a product of genuine negotiation, and it failed to consider the economic realities faced by the employer. The respondent, representing the employees, contended that the agreement was genuinely negotiated and was beneficial to the employees.

The court examined the evidence and submissions from both parties. It found that the agreement was not genuinely negotiated in good faith as there was insufficient evidence of meaningful consultation and negotiation between the parties. Additionally, the court found that the agreement did not adequately reflect the economic realities faced by the employer and was not in the best interests of the employees and the employer. Consequently, the court granted the application and terminated the enterprise agreement.

The Fair Work Commission ordered the termination of the Daracon Group Transport Workers Enterprise Agreement 2010-2014, effective from the date of the decision. The parties were directed to comply with the minimum terms and conditions set out in the relevant industrial instrument. The decision highlights the importance of genuine negotiation and consultation in the process of creating enterprise agreements.

DARACON Group

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established