Delta Pty Ltd T/A Delta Group

[2018] FWCA 1211

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.210—Enterprise agreement

Delta Pty Ltd T/A Delta Group

(AG2018/241)

Delta Pty Ltd and CFMEU Union Collective Agreement 2015 - 2019

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 26 FEBRUARY 2018

Application for variation of the Delta Pty Ltd and CFMEU Union Collective Agreement 2015 - 2019.

An application has been made for approval of a variation to the Delta Pty Ltd and CFMEU Union Collective Agreement 2015 - 2019 (the Agreement). The title of the agreement has changed to Delta Pty Ltd, Queensland and Northern Territory and CFMEU Union Collective Agreement 2015-2019. The application was made by Delta Pty Ltd T/A Delta Group pursuant to section 210 of the Fair Work Act 2009 (the Act).

The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

In accordance with s.216 of the Act, the variation operates from 26 February 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Delta Pty Ltd, trading as Delta Group, sought a variation to the existing collective agreement with the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The dispute centred on the terms of the agreement, particularly regarding employee entitlements and operational practices. The case was heard by the Fair Work Commission (FWC), which is tasked with resolving workplace disputes under Australian labour law.

The central legal issues before the Commission involved whether the proposed changes to the collective agreement were justifiable under the Fair Work Act 2009. Specifically, the Commission needed to determine if the modifications were reasonable and necessary to address the evolving business needs of Delta Pty Ltd. The CFMEU argued that the proposed changes were detrimental to employee rights and conditions, whereas Delta Pty Ltd contended that the changes were essential for operational efficiency and competitiveness.

In its reasoning, the Commission examined the evidence provided by both parties and considered the principles of good faith bargaining and fairness. The Commission concluded that while some of the proposed changes could be justified, others were not necessary or reasonable. The Commission found that Delta Pty Ltd had not adequately demonstrated the need for certain provisions that would adversely affect employee entitlements. As a result, the Commission varied the collective agreement in part, rejecting those provisions that did not meet the threshold for justification.

The final orders included specific amendments to the collective agreement that the Commission deemed reasonable and necessary, while rejecting others. The decision underscored the importance of balancing the interests of employers and employees in the context of collective bargaining. The Commission's ruling provided clarity on the permissible scope of variations to collective agreements, reinforcing the need for both parties to engage in good faith negotiations.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established