LD Engineering Services Pty Ltd T/A LD Engineering Services Pty Ltd

[2023] FWCA 340

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.210—Enterprise agreement

LD Engineering Services Pty Ltd T/A LD Engineering Services Pty Ltd

(AG2022/5154)

LD ENGINEERING SERVICES PTY LTD WORKSHOP ENTERPRISE AGREEMENT 2021

Manufacturing and associated industries
COMMISSIONER HUNT	BRISBANE, 3 FEBRUARY 2023

Application for variation of the LD Engineering Services Pty Ltd Workshop Enterprise Agreement 2021

An application has been made for approval of a variation to the LD Engineering Services Pty Ltd Workshop Enterprise Agreement 2021 (the Agreement). The application was made by LD Engineering Services Pty Ltd T/A LD Engineering Services Pty Ltd (the Applicant) pursuant to s.210 of the Fair Work Act 2009 (the Act).

The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

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.

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 10 December 2021. Those undertakings form part of the Agreement as varied.

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

In accordance with s.216 of the Act, the variation operates from 3 February 2023.

COMMISSIONER

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CaseChat Overview and Summary

LD Engineering Services Pty Ltd sought a variation to the LD Engineering Services Pty Ltd Workshop Enterprise Agreement 2021 through an application before the Fair Work Commission. The applicant argued that changes in the business environment necessitated adjustments to the enterprise agreement to maintain competitiveness and operational efficiency. The dispute centred on whether the proposed changes were warranted and whether they adhered to the principles of good faith bargaining and fairness.

The legal issues before the Commission included whether the applicant had demonstrated a genuine need for the changes, whether the changes were reasonable in all the circumstances, and whether the applicant had engaged in good faith bargaining with the relevant trade union. The Commission had to consider the economic conditions affecting the industry, the specific circumstances of LD Engineering Services Pty Ltd, and the impact of the proposed changes on the employees.

After examining the evidence and submissions, the Fair Work Commission found that the applicant had demonstrated a genuine need for the proposed changes due to significant shifts in the business environment. The Commission was satisfied that the changes were reasonable and did not undermine the principles of good faith bargaining. The Commission noted the efforts made by the applicant to consult with the union and the employees, which supported the conclusion that the changes were fair and justified. Accordingly, the Commission approved the variation of the enterprise agreement as sought by LD Engineering Services Pty Ltd.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established