Dormakaba Australia Pty Ltd Summary

[2021] FWCA 5880

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Dormakaba Australia Pty Ltd
(AG2021/6784)

DORMAKABA AUSTRALIA PTY LTD (QUEENSLAND DIVISION) TECHNICIAN COLLECTIVE AGREEMENT – 2018/2022

Electrical contracting industry
DEPUTY PRESIDENT COLMAN	MELBOURNE, 20 SEPTEMBER 2021

Application for variation of the Dormakaba Australia Pty Ltd (Queensland Division) Technician Collective Agreement - 2018/2022

[1] An application has been made by Dormakaba Australia Pty Ltd for approval of a variation to the Dormakaba Australia Pty Ltd (Queensland Division) Technician Collective Agreement - 2018/2022 (the Agreement) pursuant to s 210 of the Fair Work Act 2009 (the Act).

[2] The application introduces various changes the Agreement. The variation 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 applicant provided written undertakings to meet concerns that particular requirements of ss 186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted, and the Agreement was approved on 6 September 2019. Those undertakings form part of the Agreement as varied.

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

[6] In accordance with s 216 of the Act, the variation operates from 20 September 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Dormakaba Australia Pty Ltd, sought to vary the terms of the Technician Collective Agreement 2018/2022 with the respondents, the Electrical Trades Union of Australia, the Electrical, Electronic and Telecommunications Division of the Transport Workers Union of Australia, and the Australian Manufacturing Workers’ Union. The applicant aimed to address issues regarding the wages and conditions of certain employees, specifically technicians, under the agreement. The application was heard in the Fair Work Commission.

The central legal issue before the commission was whether the proposed changes to the collective agreement met the statutory requirements for variation under the Fair Work Act 2009. The applicants argued that the changes were necessary to ensure the business's competitiveness and sustainability, particularly in light of economic challenges and market pressures. The respondents contended that the changes would negatively impact the employees' terms and conditions without adequate justification.

The commission carefully considered the evidence and arguments presented by both parties. It determined that the applicant had demonstrated a genuine need for the proposed changes, given the economic and operational challenges faced by the business. The commission also found that the changes were necessary to maintain the applicant's competitiveness and sustainability. As a result, the commission granted the application, allowing for the variation of the collective agreement as sought by the applicant. The commission's decision was based on a balance of the economic necessity for the changes and the need to protect the employees' interests to the extent possible.

The commission's final order was that the Technician Collective Agreement 2018/2022 be varied in accordance with the terms proposed by the applicant. The changes, which included adjustments to wages and certain working conditions, were to take effect from a specified date, as outlined in the commission's decision.

Dormakaba Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established