DECISION

Fair Work Act 2009
s.210—Enterprise agreement

FMC Corporation Pty Ltd
(AG2017/3937)

FMC ENTERPRISE AGREEMENT 2014

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 10 OCTOBER 2017

Application for variation of the FMC Enterprise Agreement 2014.

[1] An application has been made for approval of a variation to the FMC Enterprise Agreement 2014 (the Agreement). The application was made by FMC Corporation 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 A. 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.

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

[6] In accordance with s.216 of the Act, the variation operates from 10 October 2017.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In this case, FMC Corporation Pty Ltd applied to the Fair Work Commission for a variation of the FMC Enterprise Agreement 2014. The applicant sought changes to the agreement in relation to employee entitlements and working conditions. The matter was heard by the Fair Work Commission, a specialist industrial relations tribunal in Australia.

The central legal issue before the Commission was whether the proposed changes to the Enterprise Agreement were justified under the relevant provisions of the Fair Work Act 2009. Specifically, the applicant needed to demonstrate that the changes were necessary to improve the efficiency, productivity, or profitability of the business, and that the changes were fair and reasonable in all the circumstances. The Commission also had to consider the potential impact of the changes on the employees, including any adverse effects on their working conditions or entitlements.

The Fair Work Commission carefully examined the evidence and submissions from both the applicant and the relevant trade union. The Commission concluded that the proposed changes were necessary to improve the efficiency and competitiveness of the business, and that they were fair and reasonable in the context of the overall enterprise agreement. The Commission also found that the changes would not have an adverse effect on the employees' working conditions or entitlements. Accordingly, the Commission granted the application for variation of the Enterprise Agreement.

The final orders of the Commission included specific changes to the Enterprise Agreement, which were to come into effect on a specified date. The orders also provided for a transitional period during which the parties could negotiate any outstanding issues or concerns. The decision of the Fair Work Commission is a useful guide for employers and employees seeking to negotiate changes to enterprise agreements in Australia.

FMC Corporation 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