Iplex Pipelines Australia Pty Ltd T/A Iplex Pipelines

[2021] FWCA 5655

[2021] FWCA 5655

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Iplex Pipelines Australia Pty Ltd T/A Iplex Pipelines
(AG2021/7293)

IPLEX PIPELINES PTY LIMITED ENTERPRISE AGREEMENT 2018 -ELIZABETH MANUFACTURING

Manufacturing and associated industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 13 SEPTEMBER 2021

Application for termination of the Iplex Pipelines Pty Limited Enterprise Agreement 2018 Elizabeth Manufacturing.

[1] Iplex Pipelines Australia Pty Ltd (the Applicant) has applied, pursuant to s 225 of the Fair Work Act 2009 (the Act), to terminate the Iplex Pipelines Pty Limited Enterprise Agreement 2018 Elizabeth Manufacturing    1(the Agreement). The Agreement is expressed to cover the Applicant, its employees employed within Maintenance and Manufacturing and Direct to Site (‘DTS’) located at 169 Philip Highway Elizabeth South Australia, the Australian Manufacturing Workers Union (AMWU), and the National Union of Workers known now as the United Workers’ Union (UWU). The Agreement has passed its nominal expiry date.

[2] Section 225 of the Act provides:

“225 Application for termination of an enterprise agreement after its nominal expiry date

If an enterprise agreement has passed its nominal expiry date, any of the following may apply to the FWC for the termination of the agreement:

(a) one or more of the employers covered by the agreement;

(b) an employee covered by the agreement;

(c) an employee organisation covered by the agreement.”

[3] Section 226 of the Act provides:

“226 When the FWC must terminate an enterprise agreement

If an application for the termination of an enterprise agreement is made under section 225, the FWC must terminate the agreement if:

(a) the FWC is satisfied that it is not contrary to the public interest to do so; and

(b) the FWC considers that it is appropriate to terminate the agreement taking into account all the circumstances including:

(i) the views of the employees, each employer, and each employee organisation (if any), covered by the agreement; and

(ii) the circumstances of those employees, employers and organisations including the likely effect that the termination will have on each of them.”

[4] A Form F24C declaration completed by Ms Rachelle Holt, who is a HR Business Partner for the Applicant, accompanied the application. Ms Holt declared that;

“A business re-structure and change to the manufacturing platform at the location/site where this Manufacturing Agreement applied was announced on 30 July 2020. As a result, the site changed its manufacturing scope where it ceased to manufacture moulded fittings but continued to produce fabricated fittings with the subsequent warehousing and distribution of that product.

This change in operations resulted in a radical downsizing of the workforce at the site. However, as part of the restructure, a limited number of Direct to Site Operator roles were created which was a new multiskilled role which combined both fabrication and distribution.

Employees employed under this Manufacturing Agreement who were successful in obtaining a Direct to Site Operator role re-negotiated a new enterprise agreement and are now employed under the Iplex Pipelines Pty Ltd Direct To Site (DTS) Operations Enterprise Agreement 2021 (AG2021/6610).

All employees who were employed under the Manufacturing Agreement were either terminated via redundancy or were successful in obtaining a Direct to Site Operator role under the Direct To Site Operations Enterprise Agreement 2021.

The last remaining employee who was covered under the Manufacturing Agreement was terminated on the 30 July 2021.

There are no plans by the company to engage employees under the Manufacturing Agreement and therefore believes the termination of the Iplex Pipelines Pty Limited Enterprise Agreement 2018 Elizabeth Manufacturing is not contrary to the public interest.”

[5] The AMWU and the UWU advised my chambers by email on 8 September 2021 that they do not object to the application. There are no employees employed by the Applicant covered by the Agreement. In these circumstances, I determined to deal with the matter on the papers.

[6] Based on the material contained in the employer’s declaration filed with the application, I am satisfied that termination of the Agreement is not contrary to the public interest. Taking into account all of the circumstances including those in s 226(b)(i) and (ii), I consider that it is appropriate to terminate the Agreement. There is nothing before me which raises public interest considerations which might militate against termination of the Agreement. I am satisfied that it is appropriate to approve the termination of the Agreement, and I terminate the Agreement.

[7] The termination will operate from 13 September 2021. An order giving effect to this decision will be separately issued.

DEPUTY PRESIDENT

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