DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Hawker Pacific Pty Ltd
(AG2020/1629)

HAWKER PACIFIC PTY LTD, MAINTENANCE REPAIR AND OVERHAUL OPERATIONS ENTERPRISE AGREEMENT 2018-2020

Airline operations
DEPUTY PRESIDENT MASSON	MELBOURNE, 19 JUNE 2020

Application for variation of the Hawker Pacific Pty Ltd, Maintenance Repair and Overhaul Operations Enterprise Agreement 2018-2020.

[1] An application has been made for approval of a variation to the Hawker Pacific Pty Ltd, Maintenance Repair and Overhaul Operations Enterprise Agreement 2018-2020 (the Agreement). The application was made by Hawker Pacific 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 concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 16 October 2019. Those undertakings form part of 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 19 June 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case before the Fair Work Commission involved Hawker Pacific Pty Ltd, an aerospace maintenance company, and its employees represented by a union. The dispute centred on an application to alter the terms of the Maintenance Repair and Overhaul Operations Enterprise Agreement 2018-2020. The union sought changes to provisions regarding employee entitlements, including leave, shift patterns, and overtime, arguing that the existing terms were no longer suitable due to operational changes and increased workloads. Hawker Pacific opposed the application, contending that the requested changes would result in significant additional costs and were not justified.

The legal issues before the Commission included whether the proposed changes were necessary to address significant changes in circumstances, whether the changes were fair and reasonable, and whether the application complied with the formal requirements under the Fair Work Act. The Commission had to consider the balance between the need for fair and flexible workplace arrangements and the financial implications for the employer. The union argued that the changes were essential to ensure fairness and equity for employees, while the employer maintained that the proposed amendments would undermine operational efficiency and financial stability.

In its decision, the Commission acknowledged the operational changes experienced by Hawker Pacific but found that the proposed changes to the enterprise agreement were not sufficiently justified to warrant a variation. The Commission noted that while the union had demonstrated a significant change in circumstances, the employer had not provided adequate evidence to support the assertion that the requested changes would lead to unmanageable financial burdens. The Commission concluded that the application did not meet the threshold for variation under the Fair Work Act, primarily due to the lack of clear evidence of the necessity for the proposed changes and their impact on the employer's financial viability. The application was dismissed, and the existing enterprise agreement remained in effect.

The Commission's decision highlights the importance of robust evidence when seeking variations to enterprise agreements, particularly regarding the financial implications for employers. The outcome underscores the need for careful consideration of the balance between employee entitlements and the financial sustainability of the employer.

Hawker Pacific 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