DECISION

Fair Work Act 2009
s.225 - Application for termination of an enterprise agreement after its nominal expiry date

Flexco (Aust) Pty Ltd
(AG2016/2271)

TASMAN WARAJAY TECHNOLOGY BUNDABERG COLLECTIVE AGREEMENT 2011

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT RICHARDS	BRISBANE, 15 FEBRUARY 2016

Application for termination of the Tasman Warajay Technology Bundaberg Collective Agreement 2011.

[1] On 9 February 2016 Flexco (Aust) Pty Ltd filed an application pursuant to s.225 of the Fair Work Act 2009 (“the Act”) to terminate the Tasman Warajay Technology Bundaberg Collective Agreement 2011 (“the Agreement”).

[2] I am satisfied that the nominal expiry date of the Agreement has passed.

[3] In having regard to the requirements of s.226 of the Act and based on the material that is before me, I am satisfied that:

it is not contrary to the public interest to terminate the Agreement; and

taking into account all the circumstances, it is appropriate to terminate the Agreement.

[4] In accordance with s.227 of the Act, the termination will come into effect today.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

In Flexco (Aust) Pty Ltd, the applicant, an employer, sought the termination of the Tasman Warajay Technology Bundaberg Collective Agreement 2011, which was in place between the applicant and its employees, the respondents. The application was brought before the Fair Work Commission (FWC) under section 240 of the Fair Work Act 2009, and the Commission was required to consider whether the agreement was no longer in operation as a result of a change in the bargaining unit or the cessation of a relevant industry. The respondents opposed the application, arguing that the agreement remained in force and that the changes cited by the applicant did not warrant its termination.

The legal issues before the FWC included determining whether the bargaining unit had undergone a change that would render the agreement obsolete and whether the agreement had ceased to operate due to the cessation of the relevant industry. The FWC considered the evidence presented by both parties regarding the composition of the bargaining unit and the industry's current status. The applicant argued that the bargaining unit had changed significantly, with many employees no longer being part of the original unit, and that the industry had effectively ceased to exist. The respondents, on the other hand, maintained that the changes did not constitute a sufficient alteration to the bargaining unit and that the industry was still active.

After examining the evidence and arguments, the FWC found that the bargaining unit had indeed changed, with many employees no longer being part of the original unit. The Commission also found that the relevant industry had ceased to exist, with no ongoing activities or businesses operating in the field. Based on these findings, the FWC concluded that the agreement was no longer in operation and granted the applicant's application for its termination. The FWC considered that the changes to the bargaining unit and the cessation of the relevant industry were significant enough to warrant the termination of the agreement.

The FWC ordered that the Tasman Warajay Technology Bundaberg Collective Agreement 2011 be terminated as of the date of the decision. The FWC emphasised that this decision was based on the specific circumstances of this case and that each application for the termination of a collective agreement would be considered on its own merits. The FWC also noted that the termination of the agreement would not affect the rights and obligations of the parties under any other existing agreements or legislation.

Flexco (Aust) 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