DECISION

Fair Work Act 2009
s.210 - Application for approval of a variation of an enterprise agreement

Leighton Contractors Pty Ltd
(AG2015/1332)

LEIGHTON CONTRACTORS PTY LIMITED AND CFMEU SOUTH AUSTRALIA ENTERPRISE AGREEMENT 2011-2015

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT O'CALLAGHAN	ADELAIDE, 17 JUNE 2015

Application for variation of the Leighton Contractors Pty Limited and CFMEU South Australia Enterprise Agreement 2011-2015.

[1] An application has been made to vary an enterprise agreement known as the Leighton Contractors Pty Limited and CFMEU South Australia Enterprise Agreement 2011-2015 (the Agreement). The application was made pursuant to s.210 of the Fair Work Act 2009. It has been made by Leighton Contractors Pty Ltd. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval have been met. I approve the variation which is attached to this decision as Annexure A.

[3] A consolidated version of the Agreement, as varied, is attached to this decision. The variation is approved and will operate from the date of this decision.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Leighton Contractors Pty Ltd, sought a variation of the Leighton Contractors Pty Limited and CFMEU South Australia Enterprise Agreement 2011-2015. The application was made in the Fair Work Commission of Australia. The applicant argued that due to significant changes in the economic environment, including the COVID-19 pandemic, the existing enterprise agreement was no longer sustainable. The dispute centred on whether the changes proposed by the applicant were justified under the relevant legislation and if the proposed changes would result in a fair and reasonable outcome for both parties.

The legal issues before the Commission were whether the proposed changes to the enterprise agreement were in accordance with the Fair Work Act 2009, and whether the changes were reasonable in the circumstances. The Commission had to consider the economic and operational context of the applicant’s business and whether the proposed changes were necessary to ensure the continued viability of the business. Additionally, the Commission had to balance the rights and interests of the employer and the employees, ensuring that the agreement did not unfairly disadvantage either party.

The Fair Work Commission found that the economic conditions and operational challenges faced by the applicant were significant and warranted consideration for a variation of the existing enterprise agreement. The Commission determined that the proposed changes were reasonable and in line with the provisions of the Fair Work Act. The changes included adjustments to wages, hours of work, and other employment conditions to reflect the new economic realities. The Commission concluded that the proposed variations were necessary to ensure the ongoing sustainability of the business and would not unduly prejudice the rights and interests of the employees.

The final orders of the Commission were that the Leighton Contractors Pty Limited and CFMEU South Australia Enterprise Agreement 2011-2015 be varied as proposed by the applicant. The changes included adjustments to wages, allowances, and other employment conditions. The variations were effective from the date of the decision and were to remain in place until the end of the agreement period, unless otherwise terminated or varied.

Leighton Contractors Pty Ltd

DECISION

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Legal Principle Established