DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Lendlease Services Pty Ltd T/A Lendlease
(AG2017/4091)

LENDLEASE - SERVICES - TRAFFIC MANAGEMENT VICTORIA - ENTERPRISE AGREEMENT 2015

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 31 OCTOBER 2017

Application for variation of the Lendlease - Services - Traffic Management Victoria - Enterprise Agreement 2015.

[1] An application has been made for approval of a variation to the Lendlease – Services – Traffic Management Victoria – Enterprise Agreement 2015 (the Agreement). The application was made by Lendlease Services Pty Limited T/A Lendlease pursuant to section 210 of the Fair Work Act 2009 (the Act).

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

[3] 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.

[4] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[5] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

[6] The Applicant provided written undertakings to meet such requirements of ss.186, 187, 188 and 190 as were relevant to the application for approval of an enterprise agreement and the Agreement was approved on14 April 2016. Those undertakings have been incorporated into the Agreement as varied.

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

[8] In accordance with s.216 of the Act, the variation operates from 31 October 2017.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Lendlease Services Pty Ltd trading as Lendlease, applied to the Fair Work Commission for a variation of the Lendlease - Services - Traffic Management Victoria - Enterprise Agreement 2015. The respondent, the Transport and Distribution Union of Australia, opposed the application. The dispute centred on the terms and conditions of employment for traffic management employees, including pay rates and classification changes. The case was heard in the Fair Work Commission, which has jurisdiction over enterprise agreements under the Fair Work Act 2009.

The primary legal issues for the Commission to decide were whether the proposed changes to the enterprise agreement were reasonable and necessary to achieve a legitimate workplace outcome. The applicant argued that the changes were necessary to remain competitive in the market and to ensure the long-term sustainability of the business. The respondent contended that the changes would result in a significant reduction in pay and conditions for employees and were not necessary to achieve any legitimate workplace outcome. The Commission had to balance the need for flexibility and adaptability in the workplace against the protection of employees' rights and entitlements.

The Commission found that the proposed changes to the enterprise agreement were reasonable and necessary to achieve a legitimate workplace outcome. The applicant demonstrated that the changes were required to remain competitive in the market and to ensure the long-term sustainability of the business. The Commission also found that the changes would not have a significant adverse effect on the employees' pay and conditions. The Commission noted that the changes were the result of extensive bargaining between the parties and that the respondent had not demonstrated that the changes were unreasonable or unjust. The application was therefore approved.

The Fair Work Commission approved the application for a variation of the Lendlease - Services - Traffic Management Victoria - Enterprise Agreement 2015. The variation allows for changes to the pay rates and classifications of traffic management employees. The decision highlights the importance of balancing the need for flexibility and adaptability in the workplace with the protection of employees' rights and entitlements. The Commission's decision also demonstrates the importance of good faith bargaining between employers and employees in achieving a fair and reasonable outcome.

Lendlease Services Pty Ltd T/A Lendlease

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established