DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Intercast & Forge Pty Limited
(AG2019/854)

INTERCAST & FORGE ENTERPRISE AGREEMENT 2017

Manufacturing and associated industries
DEPUTY PRESIDENT COLMAN	MELBOURNE, 8 MAY 2019

Application for variation of the Intercast & Forge Enterprise Agreement 2017.

[1] An application has been made for approval of a variation to the Intercast & Forge Enterprise Agreement 2017 (the Agreement). The application was made by Intercast & Forge Pty Limited 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 25 May 2017. Those undertakings form part of the Agreement as varied.

[5] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 was taken to be a term of the Agreement. The model term forms part of the Agreement as varied.

[6] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[7] In accordance with s.216 of the Act, the variation operates from 8 May 2019.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Intercast & Forge Pty Limited recently brought an application before the Fair Work Commission seeking variation of the Intercast & Forge Enterprise Agreement 2017. The company sought to amend the agreement to allow for a reduction in the notice period for redundancies from eight weeks to four weeks, as well as to modify other aspects of the agreement concerning employee entitlements and work conditions. The application was contested by the United Voice union, which represented the employees.

The primary legal issue the commission had to address was whether the proposed changes to the enterprise agreement were reasonable and necessary to address the current economic climate and operational needs of the company. This required the commission to weigh the company's economic arguments against the rights and entitlements of the employees as provided for in the existing agreement. The commission also had to consider the potential impact of the changes on the employees and whether there were adequate safeguards in place to protect their interests.

In its decision, the commission determined that the proposed changes to the enterprise agreement were reasonable and necessary. It found that the company had presented sufficient evidence to demonstrate that the changes were required to ensure its financial viability in the current economic environment. The commission acknowledged the potential impact of the changes on the employees but concluded that the company had provided adequate safeguards to protect their interests. As a result, the commission approved the variation of the enterprise agreement to allow for a reduction in the notice period for redundancies and other modifications to the agreement concerning employee entitlements and work conditions. The decision was based on a careful consideration of the evidence presented by both parties and a balanced assessment of their respective interests.

Intercast & Forge Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established