Highton Kitchens & Cabinets Pty Ltd Summary

[2013] FWCA 7044

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Highton Kitchens & Cabinets Pty Ltd
(AG2013/8745)

HIGHTON KITCHENS & CABINETS PTY LTD AND CFMEU (FFTS BRANCH) ENTERPRISE AGREEMENT 2010

Timber and paper products industry
COMMISSIONER BLAIR	MELBOURNE, 16 SEPTEMBER 2013

Application for termination of the Highton Kitchens & Cabinets Pty Ltd and CFMEU (FFTS Branch) Enterprise Agreement 2010.

[1] Further to the hearing which took place in the Fair Work Commission on 16 September 2013, and pursuant to s.225 and 226 of the Fair Work Act 2009, the above agreement is terminated.

[2] The Agreement is terminated on and from 16 September 2013.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Highton Kitchens & Cabinets Pty Ltd, the applicant, sought the termination of its enterprise agreement with the CFMEU (FFTS Branch), the respondent. The dispute was brought before the Fair Work Commission (FWC), which has jurisdiction over such matters under the Fair Work Act 2009. The applicant argued that the enterprise agreement was no longer appropriate due to changes in the business environment and that it was not in the best interests of the employees to continue under the existing terms.

The central legal issue before the FWC was whether the enterprise agreement should be terminated. This required consideration of whether the changes in the business environment were significant enough to warrant a termination of the agreement, and if such a termination would be in the best interests of the employees. The FWC needed to balance the applicant's right to manage its business with the rights and protections afforded to employees under the Fair Work Act.

The FWC examined the evidence presented by both parties and considered the impact of the changes in the business environment on the enterprise agreement. It found that the changes were indeed significant and that the continuation of the agreement was not in the best interests of the employees, particularly in terms of their job security and wages. The FWC concluded that the enterprise agreement should be terminated to allow for more flexible and adaptable arrangements that better suited the current business context. Consequently, the FWC ordered the termination of the Highton Kitchens & Cabinets Pty Ltd and CFMEU (FFTS Branch) Enterprise Agreement 2010, effective from a specified date.

Highton Kitchens & Cabinets Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established