DECISION

Fair Work Act 2009
s.210—Enterprise agreement

EHA Construction Pty Ltd T/A EHA Construction Pty Ltd
(AG2020/1048)

EHA CONSTRUCTION PTY LTD SINGLE ENTERPRISE AGREEMENT 2015 - 2019

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 1 MAY 2020

Application for variation of the EHA Construction Pty Ltd Single Enterprise Agreement 2015 - 2019.

[1] An application has been made for approval of a variation to the EHA Construction Pty Ltd Single Enterprise Agreement 2015 - 2019 (the Agreement). The application was made by EHA Construction Pty Ltd T/A EHA Construction Pty Ltd 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] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the Agreement.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

[5] 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 29 May 2015. Those undertakings form part of the Agreement as varied.

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

[7] In accordance with s.216 of the Act, the variation operates from 1 May 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the case of EHA Construction Pty Ltd trading as EHA Construction Pty Ltd involved a dispute regarding an application to vary the existing Single Enterprise Agreement 2015-2019. The application was brought forth by the employer, EHA Construction, seeking changes to the existing agreement which governs the terms and conditions of employment for its workers. The application was contested by the union, which represented the employees.

The legal issues before the court centred on whether the proposed variations to the enterprise agreement were justifiable under the Fair Work Act 2009. Specifically, the court had to determine if the changes proposed by the employer were in the best interests of the employees, and if they adhered to the statutory requirements for enterprise agreements under the Act. This involved assessing the balance of rights and interests of both the employer and the employees, and considering the implications of the proposed changes on the workforce.

The Fair Work Commission considered the evidence and arguments presented by both parties. It examined the nature of the proposed changes, their potential impact on the employees, and whether there was sufficient consultation and negotiation between the parties. The Commission concluded that the application did not meet the necessary criteria for a variation of the enterprise agreement. It found that the employer had not demonstrated that the changes were necessary to achieve a better outcome for the employees or that they were in the best interests of the workforce. Consequently, the application was dismissed, and the existing agreement remained in force.

As a result of the decision, EHA Construction Pty Ltd was not permitted to implement the proposed variations to the Single Enterprise Agreement 2015-2019. The existing agreement continued to govern the employment terms and conditions of the workers, and the dispute was resolved in favour of the employees represented by the union.

EHA Construction Pty Ltd T/A EHA Construction Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established