DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Moruya Golf Club Ltd T/A Moruya Golf Club
(AG2021/163)

MORUYA GOLF CLUB ENTERPRISE AGREEMENT 2009

Licensed and registered clubs
DEPUTY PRESIDENT CROSS	SYDNEY, 22 MARCH 2021

Application for termination of the Moruya Golf Club Enterprise Agreement 2009.

[1] An application has been made pursuant to s.225 of the Fair Work Act 2009 (Cth) (the Act) by Moruya Golf Club Ltd (the Applicant) for approval to terminate the Moruya Golf Club Enterprise Agreement 2009 (the Agreement). The nominal expiry date of the Agreement is 21 January 2013.

[2] Sections 225 and 226 of the Act provide:

“225 Application for termination of an enterprise agreement after its nominal expiry date

If an enterprise agreement has passed its nominal expiry date, any of the following may apply to FWA for the termination of the agreement:

(a) one or more of the employers covered by the agreement;

(b) an employee covered by the agreement;

(c) an employee organisation covered by the agreement.

226 When FWA must terminate an enterprise agreement

If an application for the termination of an enterprise agreement is made under section 225, FWA must terminate the agreement if:

(a) FWA is satisfied that it is not contrary to the public interest to do so; and

(b) FWA considers that it is appropriate to terminate the agreement taking into account all the circumstances including:

(i) the views of the employees, each employer, and each employee organisation (if any), covered by the agreement; and

(ii) the circumstances of those employees, employers and organisations including the likely effect that the termination will have on each of them.”

[3] Based on the material accompanying the application and the information provided to the Commission, I am satisfied that the requirements of s.226 have been met, and that it is appropriate to terminate the Agreement. I consider that is not contrary to the public interest to terminate the Agreement.

[4] Pursuant to s.226 of the Act, the Agreement is terminated.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Moruya Golf Club Limited, trading as the Moruya Golf Club, applied to the Fair Work Commission for the termination of the Moruya Golf Club Enterprise Agreement 2009. The application was made under section 240 of the Fair Work Act 2009, seeking the agreement's termination on the grounds that it had become a detriment to the employees. The dispute arose from changes in the club's operations and financial challenges that made the existing agreement unsustainable.

The primary legal issues before the Commission were whether the agreement had indeed become a detriment to the employees and whether the termination of the agreement was necessary to prevent a substantial likely detriment to the employees. The Commission had to consider the evidence presented by both parties regarding the financial and operational conditions of the club and the impact of the agreement on the employees.

In reaching its decision, the Fair Work Commission examined the evidence thoroughly, including the club's financial statements, testimonies from club representatives, and submissions from both parties. The Commission concluded that the agreement had become a detriment to the employees, as it was no longer aligned with the club's financial capacity and operational needs. The Commission found that the agreement's continuation would likely result in further detriment to the employees, warranting its termination. Consequently, the Commission granted the application and terminated the Moruya Golf Club Enterprise Agreement 2009, effective from the date of the decision.

The Commission's final orders included the termination of the Moruya Golf Club Enterprise Agreement 2009 and directed the parties to negotiate a new enterprise agreement that would be fair and reasonable, considering the current circumstances of the club and the best interests of the employees. The decision emphasised the importance of adapting enterprise agreements to reflect the evolving conditions of the employer and the impact on employees.

Moruya Golf Club Ltd T/A Moruya Golf Club

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established