Downer EDI Engineering Power Pty Ltd

Case [2016] FWCA 2404


[2016] FWCA 2404

DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Downer EDI Engineering Power Pty Ltd T/A Downer EDI Engineering

(AG2016/756)

DOWNER EDI ENGINEERING POWER PTY LTD BHPB IRON ORE

GROWTH PROJECTS STAGE 1 CEPU GREENFIELDS AGREEMENT

Electrical contracting industry

COMMISSIONER WILLIAMS PERTH, 15 APRIL 2016

Application for termination of the Downer EDI Engineering Power Pty Ltd BHPB Iron Ore

Growth Projects Stage 1 CEPU Greenfields Agreement.

[1]        This decision concerns an application made by Downer EDI Engineering Power Pty

Ltd T/A Downer EDI Engineering (the applicant) for the termination of the Downer EDI

Engineering Power Pty Ltd BHPB Iron Ore Growth Projects Stage 1 CEPU Greenfields

Agreement (the Agreement).

[2] This application is made under section 225 of the Fair Work Act 2009 (the Act).

[3]        This section of the Act allows an employer to apply to the Commission for the

termination of an agreement that has passed its nominal expiry date.

[4]        Section 226 of the Act, set out below, details the considerations for the Commission

when dealing with such an application.

226 When the FWC must terminate an enterprise agreement

If an application for the termination of an enterprise agreement is made under section

225, the FWC must terminate the agreement if:

(a) the FWC is satisfied that it is not contrary to the public interest to do
so; and
(b) the FWC considers that it is appropriate to terminate the agreement

taking into account all the circumstances including:

(i)          the views of the employees, each employer, and each employee

organisation (if any), covered by the agreement; and

[2016] FWCA 2404

(ii)         the circumstances of those employees, employers and

organisations including the likely effect that the termination will have

on each of them.

[5]        The applicant has provided in support of its application a statutory declaration from

Ms Laura Gordon (Ms Gordon) who is the Industrial Relations Manager of the applicant.

[6]        Ms Gordon explains that the Agreement had a nominal expiry date of 10 February

2016 and that the applicant no longer employs any person covered under the Agreement as the

construction work covered by the Agreement has been completed.

[7]        The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing

and Allied Services Union of Australia (CEPU) was invited to provide its view on the

application but has not sought to make a submission.

[8]        The applicant submits that in the circumstances terminating the Agreement would not

be contrary to the public interest.

Consideration

[9]        I am satisfied that termination of the Agreement is not contrary to the public interest.

[10]      Taking into account the views of the employer and accepting the applicant’s statement

that there are no employees covered by the Agreement, which has not been challenged by the

CEPU, I do consider in the circumstances here that it is appropriate to terminate the

Agreement.

[11]      Accordingly, the Downer EDI Engineering Power Pty Ltd BHPB Iron Ore Growth

Projects Stage 1 CEPU Greenfields Agreement is terminated and pursuant to section 227 of

the Act, the termination is to take effect on and from the date of this decision.

COMMISSIONER

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Details
AGLC
Downer EDI Engineering Power Pty Ltd [2016] FWCA 2404
Case
[2016] FWCA 2404
Decision Date

CaseChat Overview and Summary

The Fair Work Commission was asked to decide on an application by Downer EDI Engineering Power Pty Ltd to terminate the Downer EDI Engineering Power Pty Ltd BHPB Iron Ore Growth Projects Stage 1 CEPU Greenfields Agreement (the Agreement). The applicant claimed that the Agreement had reached its nominal expiry date and that there were no longer any employees covered by the Agreement as the construction work had been completed. The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) was invited to provide its view on the application but did not respond.

The legal issue before the Commission was whether it was appropriate to terminate the Agreement under section 226 of the Fair Work Act 2009. The applicant argued that it was not contrary to the public interest to terminate the Agreement and that it was appropriate to do so given that there were no longer any employees covered by it. The CEPU did not challenge the applicant's statement that there were no longer any employees covered by the Agreement.

The Commission found that terminating the Agreement was not contrary to the public interest and that it was appropriate to terminate the Agreement in the circumstances. The Commission accepted the applicant's statement that there were no employees covered by the Agreement, which was not challenged by the CEPU. The Commission therefore decided to terminate the Agreement and the termination was to take effect on and from the date of the decision.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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