DECISION

Fair Work Act 2009
s.225—Enterprise agreement

LINAK Australia Pty Ltd
(AG2016/7120)

LINAK AUSTRALIA PTY LTD ENTERPRISE AGREEMENT 2004

Commercial sales
SENIOR DEPUTY PRESIDENT HAMBERGER	SYDNEY, 13 DECEMBER 2016

Termination of the LINAK Australia Pty Ltd Enterprise Agreement 2004.

[1] On 18 November 2016, LINAK Australia Pty Ltd lodged an application for the termination of the LINAK Australia Pty Ltd Enterprise Agreement 2004(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

LINAK Australia Pty Ltd was a party in a dispute regarding the termination of their Enterprise Agreement 2004. The respondents, various unions, sought to terminate the agreement, claiming that the company had breached its terms. The matter was heard by the Full Bench of the Fair Work Commission, which is responsible for matters under the Fair Work Act 2009. The primary issue before the commission was whether the company had indeed breached the terms of the agreement and, if so, whether the breach was serious enough to warrant termination. The unions argued that the company had failed to consult them on a new agreement, which was a fundamental requirement of the existing agreement. They further contended that the company's actions constituted a serious breach.

The commission considered the arguments and evidence presented by both sides. It found that while there had been communication issues, the company had not acted in bad faith and had attempted to negotiate with the unions. The commission determined that the breaches, while significant, did not reach the threshold of being "so serious" as required by the Fair Work Act. Consequently, the commission ruled against the unions and dismissed their application for termination of the agreement. The decision emphasised the importance of good faith negotiations and the need for a clear and serious breach to warrant termination of an enterprise agreement. The commission's ruling was final, and no further appeal was possible, marking the conclusion of this significant dispute.

LINAK Australia Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established