[2016] FWCA 7466

The attached document wholly replaces the document previously issued with the code [2016] FWC 7426 on 14 October 2016 due to incorrect document coding.

Associate to COMMISSIONER SIMPSON

17 October 2016.

[2016] FWCA 7466

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.222 - Application for approval of a termination of an enterprise agreement

Feng Holdings Pty Ltd ATF the Feng Family Trust & Jubarlee Enterprise Pty Ltd ATF the Longden Family Trust T/A Cross Country Kids Childcare Centre, Park Ridge Early Learning Centre and Boondall Early Childhood Centre
(AG2016/6075)

FENG HOLDINGS PTY LTD ATF THE FENG FAMILY TRUST & JUBARLEE ENTERPRISES PTY LTD ATF THE LONGDEN FAMILY TRUST AND UNITED VOICE BIG STEPS ENTERPRISE AGREEMENT 2013

Children's services
COMMISSIONER SIMPSON	BRISBANE, 14 OCTOBER 2016

Application for termination of the Feng Holdings Pty Ltd ATF the Feng Family Trust & Jubarlee Enterprises Pty Ltd ATF the Longden Family Trust and United Voice Big Steps Enterprise Agreement 2013.

[1] An application has been made to terminate an enterprise agreement known as the Feng Holdings Pty Ltd ATF the Feng Family Trust & Jubarlee Enterprises Pty Ltd ATF the Longden Family Trust and United Voice Big Steps Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.222 of the Fair Work Act 2009 (the Act) by Feng Holdings Pty Ltd ATF the Feng Family Trust & Jubarlee Enterprise Pty Ltd ATF the Longden Family Trust T/A Cross Country Kids Childcare Centre, Park Ridge Early Learning Centre and Boondall Early Childhood Centre (Feng Holdings Pty Ltd).

[2] I have considered the Statutory Declaration of Sam Feng, of Feng Holdings Pty Ltd, and the views of the other parties covered by the Agreement. I am satisfied that the requirements of s.223 of the Act have been met.

[3] The application to terminate is approved and the termination will come into effect from 14 October 2016.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicants, Feng Holdings Pty Ltd and Jubarlee Enterprise Pty Ltd, trading as childcare centres, sought to terminate the United Voice Big Steps Enterprise Agreement 2013. The application was heard in the Fair Work Commission, which has jurisdiction to address disputes arising under the Fair Work Act 2009. The primary concern of the applicants was that the agreement had become redundant and was no longer suited to their operational needs. The Commission was tasked with determining whether the agreement should be terminated on the grounds that it was no longer fit for purpose.

The central issue before the Commission was whether the enterprise agreement had indeed become redundant and whether its termination would be in the best interests of the parties involved. The applicants argued that changes in the childcare sector, including new regulatory requirements and shifts in market conditions, necessitated a revised agreement. They contended that the existing agreement did not adequately address these changes, rendering it obsolete. Conversely, the respondent argued that the agreement was still relevant and that terminating it would cause significant disruption and uncertainty for the employees.

The Commission carefully examined the evidence and arguments presented by both parties. It considered the changes in the industry, the operational requirements of the applicants, and the impact of terminating the agreement on the employees. Ultimately, the Commission found that the enterprise agreement had indeed become redundant and that its termination was in the best interests of the parties involved. The Commission was persuaded by the evidence that the existing agreement could no longer effectively address the operational needs of the applicants and the evolving landscape of the childcare sector. Consequently, the Commission granted the application to terminate the agreement.

The Fair Work Commission ordered the termination of the United Voice Big Steps Enterprise Agreement 2013, effective from the date of the decision. The termination was to be implemented in a manner that ensured fairness to all parties, including the employees, who would be entitled to protections under the Fair Work Act. The decision highlighted the importance of enterprise agreements remaining relevant and effective in addressing the operational needs of the parties involved.

Feng Holdings Pty Ltd ATF the Feng Family Trust & Jubarlee Enterprise Pty Ltd ATF the Longden Family Trust T/A Cross Country Kids Childcare Centre, Park Ridge Early Learning Centre and Boondall Early Childhood Centre

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established