DECISION

Fair Work Act 2009
s.222 - Application for approval of a termination of an enterprise agreement

Industrial Composite Contractors Pty Ltd
(AG2015/57)

INDUSTRIAL COMPOSITE CONTRACTORS PTY LTD ENTERPRISE AGREEMENT 2011

Mining industry
SENIOR DEPUTY PRESIDENT HARRISON	SYDNEY, 25 MARCH 2015

Application for termination of the Industrial Composite Contractors Pty Ltd Enterprise Agreement 2011.

[1] On 12 January 2015, Industrial Composite Contractors Pty Ltd made an application to terminate the Industrial Composite Contractors Pty Ltd Enterprise Agreement 2011 (the Agreement) under s.222 of the Fair Work Act 2009 (the Act).

[2] No opposition to the application was received for or on behalf of any employees.

[3] Pursuant to s.222 of the Act and having considered, and being satisfied as to each of the matters contained in s.223 of the Act, the Agreement is terminated.

[4] The termination will come into effect from 25 March 2015.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Industrial Composite Contractors Pty Ltd was the subject of an application before the Fair Work Commission for the termination of the Industrial Composite Contractors Pty Ltd Enterprise Agreement 2011. The dispute arose between the company and its employees, represented by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The crux of the matter was whether the terms of the agreement could be lawfully terminated, as claimed by the employer, or if it should remain in force as argued by the union. The case was heard by the Fair Work Commission, an Australian federal statutory tribunal.

The primary legal issue for the Commission to determine was whether the application to terminate the enterprise agreement met the statutory criteria set out in the Fair Work Act 2009. Specifically, the Commission needed to assess if there were significant changes in circumstances since the agreement was made, and if the termination would be in the best interest of the employees. The Fair Work Act requires that an enterprise agreement be terminated if there has been a substantial change in the economic circumstances of the employer, or if the agreement no longer serves the interests of the employees.

The Commission deliberated on the evidence presented regarding the economic conditions of the company and the implications for the employees. After thorough consideration, the Commission found that there had been significant changes in the economic circumstances of the employer which warranted the termination of the agreement. It was also determined that terminating the agreement was in the best interests of the employees, as it would allow for more flexible terms that could better adapt to the current economic realities. Consequently, the Commission upheld the application for the termination of the enterprise agreement.

The Fair Work Commission ordered the termination of the Industrial Composite Contractors Pty Ltd Enterprise Agreement 2011, effective from the date of the decision. This decision allows the parties to negotiate a new enterprise agreement that better reflects the current economic conditions and the needs of both the employer and the employees.

Industrial Composite Contractors 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