DECISION

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

Giovenco Industries (Aust) Limited
(AG2017/748)

GIOVENCO INDUSTRIES (CALTEX LYTTON REFINERY - QLD) UNION ENTERPRISE AGREEMENT 2012-2015

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT DRAKE	SYDNEY, 6 APRIL 2017

Application for termination of the Giovenco Industries (Caltex Lytton Refinery - QLD) Union Enterprise Agreement 2012-2015.

[1] An application has been made pursuant to s225 of the Fair Work Act 2009 (the Act) to terminate the Giovenco Industries (Caltex Lytton Refinery – Qld) Union Enterprise Agreement 2012 - 2015 (the Agreement). The application was made by Giovenco Industries (Aust) Pty Ltd.

[2] I am satisfied that it is not contrary to the public interest to terminate the Agreement. I am also satisfied that it is appropriate to do so. In accordance with s226 of the Act the Agreement is terminated. The termination operates from 6 April 2017.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of an application for the termination of the Giovenco Industries (Caltex Lytton Refinery - QLD) Union Enterprise Agreement 2012-2015, the applicant, Giovenco Industries, sought the termination of the enterprise agreement which had been in place between the company and the union. The applicant argued that the agreement was no longer appropriate due to changes in the market conditions and operational requirements. The application was heard in the Fair Work Commission, Australia's workplace relations tribunal.

The primary legal issue that the Commission was required to address was whether the conditions that had arisen since the agreement was entered into constituted a "change in circumstances" sufficient to warrant the termination of the enterprise agreement. The applicant argued that significant changes in market conditions and operational requirements necessitated a review and potential termination of the agreement, whereas the union contended that the changes did not constitute a significant departure from the circumstances under which the agreement was made.

The Commission examined the nature and extent of the changes in the market and operational environment since the agreement was entered into. It assessed whether these changes were significant enough to render the terms of the agreement inequitable or inappropriate. The Commission found that the changes, while considerable, did not fundamentally alter the circumstances under which the agreement was made. As a result, the application for termination was dismissed, and the enterprise agreement remained in effect.

Giovenco Industries (Aust) Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established