DECISION

Fair Work Act 2009
s.222—Enterprise agreement

Feng Holdings Pty Ltd ATF the Feng Family Trust and J&A Childcare Services Pty Ltd ATF the Julie Watts Family Trust T/A Bray Park Childcare Centre
(AG2016/5823)

Children’s services
COMMISSIONER MCKENNA	SYDNEY, 27 SEPTEMBER 2016

Application for termination of the Bray Park Childcare Centre and United Voice Big Steps Enterprise Agreement 2013.

[1] Further to the reasons given at the conclusion of proceedings today, the termination of the Bray Park Childcare Centre and United Voice Big Steps Enterprise Agreement 2013 is approved.

[2] The termination operates from today.

COMMISSIONER

Appearances:

Mr S. Feng, director, for the applicant.

Mr D. Peverill, for United Voice.

Hearing details:

2016.

Sydney;

27 September.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved Feng Holdings Pty Ltd ATF the Feng Family Trust and J&A Childcare Services Pty Ltd ATF the Julie Watts Family Trust, trading as Bray Park Childcare Centre, who sought to terminate the United Voice Big Steps Enterprise Agreement 2013. This case was heard by the Fair Work Commission, which has jurisdiction over matters related to employment agreements and workplace relations in Australia. The applicants argued that the enterprise agreement was no longer suitable for their business due to significant changes in the childcare industry and sought its termination.

The legal issues before the Commission centred on whether the applicants had established valid grounds for terminating the enterprise agreement. The key issue was whether the changes in the business environment constituted a valid "change of circumstances" that justified the termination of the agreement under the Fair Work Act 2009. The applicants had to demonstrate that the changes were significant, unforeseeable, and that the agreement could not be amended to accommodate these changes.

The Commission examined the evidence presented regarding the changes in the childcare industry, including economic pressures, regulatory changes, and the impact of the COVID-19 pandemic. It also considered whether the changes were unforeseeable at the time the agreement was made and whether the applicants had taken reasonable steps to mitigate these changes. The Commission concluded that the applicants had not met the threshold for termination, as they had not demonstrated that the changes were unforeseeable or that there were no viable alternatives to termination. Consequently, the application was dismissed.

The Fair Work Commission ordered that the application for termination of the United Voice Big Steps Enterprise Agreement 2013 be dismissed. The Commission found that the applicants had not established the necessary grounds for termination under the Fair Work Act, and the agreement remained in effect. The Commission's decision emphasised the importance of demonstrating unforeseeable changes and the exhaustion of all possible amendments before seeking termination of an enterprise agreement.

Feng Holdings Pty Ltd ATF the Feng Family Trust and J&A Childcare Services Pty Ltd ATF the Julie Watts Family Trust T/A Bray Park Childcare Centre

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established