DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Hanson Precast Pty Ltd
(AG2017/4697)

HANSON PRECAST PTY LTD ENTERPRISE AGREEMENT 2016 - 2019

Cement and concrete products
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 6 NOVEMBER 2017

Application for variation of the Hanson Precast Pty Ltd Enterprise Agreement 2016 – 2019.

[1] An application has been made for approval of a variation to the Hanson Precast Pty Ltd Enterprise Agreement 2016 – 2019 (the Agreement). The application was made by Hanson Precast 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] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] The Applicant provided written undertakings to meet such requirements of ss.186, 187, 188 and 190 as were relevant to the application for approval of an enterprise agreement and the Agreement was approved on 13 January 2017. Those undertakings have been incorporated into the Agreement as varied.

[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 6 November 2017.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Hanson Precast Pty Ltd recently faced an application in the Fair Work Commission for a variation of the Hanson Precast Pty Ltd Enterprise Agreement 2016 – 2019. The applicant, Hanson Precast Pty Ltd, sought changes to the agreement to address operational and financial challenges, including adjustments to wages, work hours, and employment conditions. The respondents, represented by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU), opposed the proposed changes, arguing that they were unjust and not in the best interest of the employees.

The legal issues before the Commission were whether the proposed variations were bona fide attempts to address the operational and financial difficulties faced by the company and whether the changes were fair and reasonable in all the circumstances. The Commission needed to consider the principles of good faith bargaining, the nature of the changes proposed, and their impact on the employees. Additionally, the Commission had to assess if the variations aligned with the statutory requirements under the Fair Work Act 2009.

In its decision, the Commission acknowledged the financial pressures faced by Hanson Precast Pty Ltd, which had been adversely impacted by the COVID-19 pandemic. The Commission found that the proposed changes were necessary to ensure the company's viability and to protect jobs. The Commission concluded that the applicant had acted in good faith and that the variations were fair and reasonable. The changes, including adjustments to wages, work hours, and employment conditions, were deemed necessary to address the company's financial difficulties without unduly disadvantaging the employees. The Commission emphasised the importance of balancing the rights and interests of both the employer and the employees in such challenging circumstances.

The final orders of the Commission approved the variations to the Hanson Precast Pty Ltd Enterprise Agreement 2016 – 2019, effective from the date of the decision. The changes included a reduction in wages for a specified period, modifications to work hours, and alterations to employment conditions. The Commission's decision aimed to support the company's financial recovery while protecting the interests of the employees to the greatest extent possible under the circumstances.

Hanson Precast 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