DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Kidbiz Pty Ltd atf Bennett Family Trust T/A Bagdad Childcare Centre
(AG2017/670)

BAGDAD CHILDCARE CENTRE ENTERPRISE AGREEMENT 2013

Tasmania
SENIOR DEPUTY PRESIDENT HAMBERGER	SYDNEY, 31 MARCH 2017

Termination of the Bagdad Childcare Centre Enterprise Agreement 2013.

[1] On 4 March 2017, Kidbiz Pty Ltd atf Bennett Family Trust T/A Bagdad Childcare Centre lodged an application for the termination of the Bagdad Childcare Centre Enterprise Agreement 2013 (the Agreement), under s.225 of the Fair Work Act 2009 (the Act).

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

[3] Pursuant to s.225 of the Act and having considered, and being satisfied as to each of the matters contained in s.226 of the Act, the Agreement is terminated.

[4] The termination will come into effect from the date of this decision.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of Kidbiz Pty Ltd acting on behalf of the Bennett Family Trust, trading as the Bagdad Childcare Centre, the Fair Work Commission was tasked with resolving a dispute concerning the termination of the Bagdad Childcare Centre Enterprise Agreement 2013. The applicant, the employer, sought to terminate the agreement citing financial hardship and the need for a more flexible workforce. The respondent, the union representing the employees, opposed the termination, arguing that the employer's financial position was not dire enough to justify such a drastic measure and that the termination was an unfair labour practice.

The central legal issues before the commission included whether the employer had genuinely experienced financial hardship sufficient to warrant the termination of the enterprise agreement, and whether the employer had followed the correct process in terminating the agreement. The commission had to consider the employer's financial records, projections, and any other relevant evidence of financial hardship. Additionally, it had to assess whether the employer had engaged in genuine consultation with the union and whether the termination was an appropriate response to the employer's circumstances.

The commission concluded that the employer had not demonstrated sufficient financial hardship to warrant the termination of the enterprise agreement. The employer's financial situation, while challenging, did not meet the stringent criteria required for such a significant action. Furthermore, the commission found that the employer had not engaged in genuine consultation with the union, as required by the Fair Work Act. Consequently, the commission ruled that the termination was unfair and unlawful, and it was not upheld. The commission reinstated the Bagdad Childcare Centre Enterprise Agreement 2013, effective immediately, and directed the employer to comply with its terms.

Kidbiz Pty Ltd atf Bennett Family Trust T/A Bagdad Childcare Centre

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established