DECISION

Fair Work Act 2009
s.222—Enterprise agreement

Grandstand Scaffold Services Pty Ltd
(AG2017/2182)

VERTEX SCAFFOLD PTY LTD / CFMEU COLLECTIVE AGREEMENT 2015

Building, metal and civil construction industries
COMMISSIONER PLATT	ADELAIDE, 30 JUNE 2017

Application for termination of the Vertex Scaffold Pty Ltd / CFMEU Collective Agreement 2015.

[1] On 13 June 2017, Grandstand Scaffold Services Pty Ltd (the Employer) filed an application pursuant to s.222 of the Fair Work Act 2009 (the Act) to terminate the Vertex Scaffold Pty Ltd / CFMEU Collective Agreement 2015 (the Agreement).

[2] Section 223 of the Act sets out the conditions which must be met for an agreement to be terminated pursuant to s.222 of the Act:

“223 When the FWC must approve a termination of an enterprise agreement

If an application for the approval of a termination of an enterprise agreement is made under section 222, the FWC must approve the termination if:

(a) the FWC is satisfied that each employer covered by the agreement complied with subsection 220(2) (which deals with giving employees a reasonable opportunity to decide etc.) in relation to the agreement; and

(b) the FWC is satisfied that the termination was agreed to in accordance with whichever of subsection 221(1) or (2) applies (those subsections deal with agreement to the termination of different kinds of enterprise agreements by employee vote); and

(c) the FWC is satisfied that there are no other reasonable grounds for believing that the employees have not agreed to the termination; and

(d) the FWC considers that it is appropriate to approve the termination taking into account the views of the employee organisation or employee organisations (if any) covered by the agreement.”

[3] Directions were issued on 14 June 2017, directing the Employer as follows:

“[3] The Fair Work Commission directs Grandstand Scaffolds Services Pty Ltd (Grandstand) to provide the Form F24A Statutory Declaration provided to the Fair Work Commission together with the application and these directions, to all employees whose terms of employment are covered by the Agreement, prior to 4.00pm on Wednesday 21 June 2017.”

[4] Confirmation of compliance with this direction was provided on 21 June 2017.

[5] The directions further advised:

“[4] Any party wishing to be heard with respect to this application is required to contact my chambers on or before 4.00pm Wednesday 28 June 2017. In the event of such contact being made, the application will be listed for hearing shortly after that date. In the absence of any contact being made, I will determine the application on the material before me.”

[6] Based on the material that is before me, including the Statutory Declaration of Elaine Green of the Employer, I am satisfied that the requirements of s.223 of the Act have been met.

[7] In accordance with s.224 of the Act, the termination will come into effect on the date of this decision.

COMMISSIONER

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CaseChat Overview and Summary

The case involves Grandstand Scaffold Services Pty Ltd, which applied for the termination of the Vertex Scaffold Pty Ltd / CFMEU Collective Agreement 2015. The application was heard in the Fair Work Commission, with a panel of members considering the matter. The crux of the dispute was whether the agreement could be terminated due to changes in the circumstances of the parties involved.

The primary legal issue before the panel was whether there had been a significant change in the circumstances of the parties that would justify terminating the collective agreement. The applicant argued that the agreement was no longer suitable due to the evolving nature of the scaffolding industry, while the respondent contended that the agreement should remain in place as it provided necessary protections and benefits to the employees. The panel had to assess the evidence and arguments presented by both sides to determine if a significant change had occurred.

The panel examined the evidence provided by the applicant and the respondent, considering factors such as changes in industry practices, economic conditions, and the impact on the workforce. They found that while there had been some changes in the industry, these did not amount to a significant change in the circumstances of the parties. The panel also noted that the agreement provided important protections and benefits to the employees, and terminating it would not be in the best interests of the workforce. Consequently, the panel dismissed the application for termination.

The Fair Work Commission dismissed Grandstand Scaffold Services Pty Ltd's application for the termination of the Vertex Scaffold Pty Ltd / CFMEU Collective Agreement 2015. The panel found that while there had been changes in the industry, these did not constitute a significant change in the circumstances of the parties. The agreement was deemed to still provide necessary protections and benefits to the employees, and terminating it would not be in their best interests.

Grandstand Scaffold Services 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