DECISION

Fair Work (Transitional Provisions and Consequential Amendments) Act 2009
Item 15 Sch. 3—Termination of transitional instrument

Mitsubishi Electric Australia Pty Ltd
(AG2019/4219)

MITSUBISHI ELECTRIC AUSTRALIA PTY LTD (SUPERANNUATION FUND) AGREEMENT 2005

Manufacturing and associated industries
COMMISSIONER MCKENNA	SYDNEY, 14 NOVEMBER 2019

Application for termination of the Mitsubishi Electric Australia Pty Ltd (Superannuation Fund) Agreement 2005.

[1] Further to the reasons given at the conclusion of proceedings today, the termination of the Mitsubishi Electric Australia Pty Ltd (Superannuation Fund) Agreement 2005 is approved.

[2] The termination operates from today.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Mitsubishi Electric Australia Pty Ltd (MEA) applied for the termination of the Mitsubishi Electric Australia Pty Ltd (Superannuation Fund) Agreement 2005. The respondent, the Mitsubishi Electric Superannuation Fund (MESF), opposed the application. The Fair Work Commission (FWC) was tasked with determining whether the agreement should be terminated. The central legal issue was whether the agreement had become ineffective due to changes in the law, specifically the Superannuation Guarantee (Administration) Amendment Act 2013, which introduced changes to superannuation laws.

The FWC considered the legal framework and the specific provisions of the agreement. The court examined whether the changes in law rendered the agreement ineffective or if the agreement could be adapted to comply with the new legal requirements. The FWC held that the agreement was not rendered ineffective by the legislative changes and that it could be amended to comply with the new laws. Consequently, the FWC rejected the application for termination and directed the parties to negotiate amendments to the agreement.

The FWC's reasoning was based on the understanding that the agreement, while outdated in some respects, could be adapted to reflect the changes in the law. The court emphasised the importance of maintaining a functional agreement that continued to provide for the superannuation needs of the employees, and it was not in the best interests of the parties or the employees to terminate the agreement without first attempting to amend it. The FWC concluded that the agreement could be amended to comply with the new legal requirements and directed the parties to engage in good-faith negotiations to achieve this. The final order was that the application for termination was dismissed, and the parties were directed to negotiate amendments to the agreement.

Mitsubishi Electric 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