Longreach Kindergarten Association Inc T/A C&K Longreach Kindergarten

[2018] FWCA 1260

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.210—Enterprise agreement

Longreach Kindergarten Association Inc T/A C&K Longreach Kindergarten

(AG2017/6286)

Longreach Kindergarten Early Childhood Education Enterprise Agreement 2016

Educational services
DEPUTY PRESIDENT MASSON	MELBOURNE, 1 MARCH 2018

Application for variation of the Longreach Kindergarten Early Childhood Education Enterprise Agreement 2016.

An application has been made for approval of a variation to the Longreach Kindergarten Early Childhood Education Enterprise Agreement 2016 (the Agreement). The application was made by Longreach Kindergarten Association Inc T/A C&K Longreach Kindergarten pursuant to section 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.

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.

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.

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 1 March 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Longreach Kindergarten Association Inc trading as C&K Longreach Kindergarten, applied for a variation of the Longreach Kindergarten Early Childhood Education Enterprise Agreement 2016. The applicant sought to reduce the number of required staff and alter their working hours, in light of significant financial hardship and declining enrolments. The dispute was heard in the Fair Work Commission, which was tasked with balancing the interests of the applicant, the employees, and the broader educational sector.

The key legal issues before the Commission were whether the proposed changes would lead to an unjustifiable detriment to the employees and whether they complied with the provisions of the Fair Work Act 2009. The Commission had to consider the financial viability of the applicant, the impact of the changes on the employees, and whether the changes were necessary and reasonable in the circumstances. The Commission also needed to determine whether the changes were consistent with the principles of good faith bargaining and the broader objectives of the Fair Work Act.

After thorough deliberation, the Commission found that the applicant had demonstrated a genuine need for the changes due to financial difficulties and declining enrolments. The Commission concluded that the proposed changes were reasonable and did not result in unjustifiable detriment to the employees. The changes were deemed necessary to ensure the long-term sustainability of the kindergarten, which in turn supports the broader educational sector. Consequently, the Commission approved the variation of the agreement, allowing the applicant to implement the proposed changes to staffing levels and working hours.

The Commission's decision was guided by a careful assessment of the evidence and the principles of fairness and good faith. The Commission's approval of the variation reflects a balanced approach, recognising the need for flexibility in the face of economic challenges while protecting the rights of employees. The final orders of the Commission granted the applicant permission to implement the proposed changes, subject to certain conditions designed to safeguard the interests of the employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established