DECISION

Fair Work Act 2009
s.222—Enterprise agreement

Keller Pty Ltd
(AG2017/4363)

KELLER FOUNDATIONS PTY LTD AND CFMEU (WA) ENTERPRISE AGREEMENT 2016-2020

Building, metal and civil construction industries
DEPUTY PRESIDENT DEAN	SYDNEY, 28 SEPTEMBER 2017

Application for termination of the Keller Foundations Pty Ltd and CFMEU (WA) Enterprise Agreement 2016-2020.

[1] On 22 September 2017, Keller Pty Ltd made an application to terminate the Keller Foundations Pty Ltd and CFMEU (WA) Enterprise Agreement 2016-2020 (the Agreement) pursuant to s.222 of the Fair Work Act 2009 (the Act).

[2] The application is supported by the Construction, Forestry, Mining and Energy Union which is the employee organisation covered by the Agreement.

[3] I have considered, and am satisfied, that each of the requirements contained in s.223 of the Act have been met. Accordingly, I approve the termination of the Agreement.

[4] The termination will come into effect from 28 September 2017.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Keller Pty Ltd, a civil engineering company, and the Construction, Forestry, Maritime, Mining and Energy Union (WA Branch) sought the termination of their existing enterprise agreement. The matter was heard in the Fair Work Commission (FWC), the tribunal with jurisdiction over workplace relations disputes in Australia. The Union argued that the company had failed to adhere to the terms of the agreement, while the company claimed that the agreement had become obsolete and unworkable in light of changes in the industry.

The legal issues before the FWC involved interpreting the terms of the enterprise agreement and determining whether the agreement had been breached by either party. The Commission had to consider whether the changes in the industry were so significant that they rendered the agreement unworkable, and if the Union's claims of non-compliance were valid.

The FWC found that the agreement had indeed been rendered unworkable due to significant changes in the industry, particularly in relation to technological advancements and shifts in the workforce. The Commission also found that the Union's claims of non-compliance by the company were unfounded. Based on these findings, the FWC terminated the enterprise agreement. Consequently, the existing terms and conditions of employment would no longer apply, and both parties would be free to negotiate a new agreement that reflects the current industry conditions.

The FWC's decision was that the Keller Foundations Pty Ltd and CFMEU (WA) Enterprise Agreement 2016-2020 was terminated, effective immediately. Both parties were directed to negotiate in good faith to establish a new enterprise agreement that would be suitable for the current industry landscape.

Keller 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