DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Downer EDI Mining Blasting Services Pty Limited
(AG2018/812)

DOWNER EDI MINING BLASTING SERVICES GOONYELLA RIVERSIDE ENTERPRISE AGREEMENT 2015

Coal industry
SENIOR DEPUTY PRESIDENT HAMBERGER	SYDNEY, 20 MARCH 2018

Termination of the Downer EDI Mining Blasting Services Goonyella Riverside Enterprise Agreement 2015.

[1] On 6 March 2018, Downer EDI Mining Blasting Services Pty Limited made an application to terminate the Downer EDI Mining Blasting Services Goonyella Riverside Enterprise Agreement 2015 under s.225 of the Fair Work Act 2009 (the Act).

[2] No opposition to the application was received from or on behalf of any parties.

[3] Pursuant to s.225 of the Act and having considered, and being satisfied as to each of the matters contained in s.226 of the Act, the Agreement is terminated.

[4] The termination will come into effect from the date of this decision.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Downer EDI Mining Blasting Services Pty Limited sought to terminate the Downer EDI Mining Blasting Services Goonyella Riverside Enterprise Agreement 2015. The dispute arose as the company claimed that the enterprise agreement had been rendered ineffective due to a change in the enterprise's structure. The Fair Work Commission was the court in this matter.

The primary legal issue for the Commission was whether the enterprise agreement was indeed terminated due to the structural change. The Commission had to consider whether the structural change constituted a significant event that justified the termination of the enterprise agreement. This involved determining whether the change was of such a nature that it rendered the agreement unworkable or obsolete.

The Commission found that the structural change did not automatically terminate the enterprise agreement. Instead, the Commission held that the parties were required to negotiate in good faith to modify the agreement to reflect the new circumstances. The Commission emphasised the importance of maintaining a functional and fair workplace agreement, even in the face of structural changes. As a result, the termination application was dismissed, and the enterprise agreement remained in effect pending the outcome of further negotiations between the parties. The Commission mandated that the parties engage in good faith negotiations to amend the agreement to accommodate the structural changes.

Downer EDI Mining Blasting Services Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established