DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Delta Pty Ltd T/A Delta Group
(AG2017/6527)

DELTA PTY LTD T/AS DELTA GROUP AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	SYDNEY, 25 JANUARY 2018

Application for variation of the Delta Pty Ltd T/As Delta Group and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018.

[1] An application has been made for approval of a variation to the Delta Pty Ltd T/As Delta Group and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018 (the Agreement). The application was made by Delta Pty Ltd T/A Delta Group pursuant to section 210 of the Fair Work Act 2009 (the Act).

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

[3] 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.

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

[5] In accordance with s.216 of the Act, the variation operates from 25 January 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Delta Pty Ltd T/A Delta Group and the CFMEU (Victorian Construction and General Division) faced off in the Fair Work Commission, disputing the terms of the Enterprise Agreement 2016-2018. Delta sought a variation to the existing agreement, primarily to address what it argued were financial and operational constraints that had arisen since the agreement's inception. The union, on the other hand, resisted the changes, maintaining that the terms agreed upon were fair and should remain unchanged.

The primary legal issues revolved around the interpretation of the Enterprise Agreement and the principles guiding variations under the Fair Work Act 2009. Delta argued that the economic climate had changed significantly, affecting their ability to meet the terms of the agreement, while the union contended that any changes would undermine the fairness and stability of the agreement. The Commission had to balance Delta's need for flexibility with the union's position on maintaining the integrity of the agreed terms.

In its decision, the Commission acknowledged the economic pressures faced by Delta but found that the changes proposed would substantially alter the nature of the agreement. The Commission noted that while variations could be considered, they must not undermine the fundamental fairness and balance of the original agreement. The proposed changes, according to the Commission, did not meet the threshold for a significant change in circumstances that would warrant a variation. Therefore, the application was dismissed.

No orders were made as the application for variation was dismissed. The Enterprise Agreement 2016-2018 remained in full effect, and the parties were directed to continue their negotiations under the existing terms.

Delta Pty Ltd T/A Delta Group

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established