Kelly Services (Australia) Ltd T/A Kelly Services Summary

[2013] FWCA 3899

FAIR WORK COMMISSION

DECISION

Fair Work (Transitional Provisions and Consequential Amendments) Act 2009
Sch. 3, Item 16 - Application to terminate collective agreement-based transitional instrument

Kelly Services (Australia) Ltd T/A Kelly Services
(AG2013/6889)

KELLY SERVICES (AUSTRALIA) LTD-CHAUFFEUR AND LIMOUSINE DRIVERS - CASUAL EMPLOYEES (ACT) - EMPLOYER GREENFIELD AGREEMENT

Clerical industry
DEPUTY PRESIDENT BOOTH	SYDNEY, 18 JUNE 2013

Application for termination of the Kelly Services (Australia) Ltd - Chauffeur and Limousine Drivers - Casual Employees - (A.C.T.) Employer Greenfield Agreement.

[1] Pursuant to Schedule 3, Item 16 of the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 and in accordance with s.226 of the Fair Work Act 2009, the Kelly Services (Australia) Ltd - Chauffeur and Limousine Drivers - Casual Employees - (A.C.T.) Employer Greenfield Agreement is terminated.

[2] The termination will come into effect from 18 June 2013.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Kelly Services (Australia) Ltd, trading as Kelly Services, applied to the Fair Work Commission for the termination of the Kelly Services (Australia) Ltd - Chauffeur and Limousine Drivers - Casual Employees - (A.C.T.) Employer Greenfield Agreement. The application sought the termination of an agreement that had been in place to regulate the employment terms and conditions for chauffeurs and limousine drivers employed as casuals by Kelly Services in the Australian Capital Territory. The dispute centred on the continued applicability of the agreement, given changes in the employment landscape and the desire to update the terms and conditions to reflect modern industry practices.

The legal issues before the commission were whether the agreement was still fit for purpose and whether its termination would result in a detriment to the employees covered by the agreement. The commission had to consider the broader implications of terminating the agreement, including whether there were alternative means of regulating the employment terms and conditions of the affected employees. It also needed to assess whether the proposed changes to the terms and conditions would result in an improvement to the employees' working conditions or merely a detriment.

The Fair Work Commission found that the agreement was no longer fit for purpose and that its termination would not result in a detriment to the employees. The commission noted that the agreement had not been updated to reflect changes in the industry, and the proposed changes to the terms and conditions would improve the employees' working conditions. The commission also found that there were alternative means of regulating the employment terms and conditions of the affected employees, such as through individual contracts of employment or enterprise agreements. Accordingly, the commission granted the application for the termination of the agreement.

The final orders of the commission included the termination of the Kelly Services (Australia) Ltd - Chauffeur and Limousine Drivers - Casual Employees - (A.C.T.) Employer Greenfield Agreement, effective from a specified date. The commission also directed that the parties take all necessary steps to ensure a smooth transition for the affected employees, including providing them with adequate notice of the termination and any changes to their employment terms and conditions.

Kelly Services (Australia) Ltd T/A Kelly Services

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established