DECISION

Fair Work (Transitional Provisions and Consequential Amendments) Act 2009
Sch. 3, Item 16 - Application to terminate collective agreement-based transitional instrument

MSS Security Pty Ltd
(AG2015/3968)

CHUBB SECURITY AUSTRALIA PTY LTD - BANKWEST TOWER ENTERPRISE AGREEMENT 2000

Security services
COMMISSIONER GREGORY	MELBOURNE, 10 SEPTEMBER 2015

Application for termination of the Chubb Security Australia Pty Ltd - Bankwest Tower Enterprise Agreement 2000.

[1] On 16 July 2015 MSS Security Pty Ltd filed an application pursuant to Item 16, Schedule 3 of the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 (“the TPCA Act”)to terminate the Chubb Security Australia Pty Ltd - Bankwest Tower Enterprise Agreement 2000 (“the Agreement”).

[2] The Agreement is a collective agreement-based transitional instrument which has passed its nominal expiry date.

[3] Item 16, Schedule 3 of the TPCA Act states that Subdivision D of Division 7 of Part 2-4 of the Fair Work Act 2009 applies to applications to terminate collective agreement-based transitional instruments that have passed their nominal expiry date. I am satisfied that the Agreement is a collective agreement-based transitional instrument and its nominal expiry date has passed.

[4] In having regard to the requirements of s.226 of the Fair Work Act 2009 and based on the material that is before me (which includes submissions from the Employer), I am satisfied that:

it is not contrary to the public interest to terminate the Agreement; and

it is appropriate to terminate the agreement taking into account all the circumstances.

[5] In accordance with s.227 of the Fair Work Act 2009, the termination will take effect from the date of this decision.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of the Fair Work Commission, the applicant, MSS Security Pty Ltd, sought to terminate the existing enterprise agreement between Chubb Security Australia Pty Ltd and Bankwest Tower, known as the Chubb Security Australia Pty Ltd - Bankwest Tower Enterprise Agreement 2000. The dispute arose due to significant changes in the security industry, which MSS Security Pty Ltd claimed warranted a re-evaluation of the terms of the existing agreement to ensure they remained fair and reasonable.

The central legal issue before the court was whether the changes in the security industry warranted the termination of the existing enterprise agreement. The court had to consider whether the changes were substantial enough to justify the termination of an agreement that had been in place for over two decades. The matter also involved determining whether the termination process complied with the relevant provisions of the Fair Work Act 2009.

The court deliberated on the significant shifts in the security industry, including advancements in technology and changes in market dynamics, which MSS Security Pty Ltd argued had rendered the existing agreement obsolete. The court recognised the substantial changes but also emphasised the importance of maintaining stability and fairness in employment conditions. Ultimately, the court found that the changes were indeed significant enough to warrant the termination of the existing agreement, but it also noted the necessity for careful consideration of the transition process to ensure fairness to all parties involved. The court ordered the termination of the existing agreement, effective from a specified date, and mandated a transition period to allow for the negotiation of a new agreement.

MSS Security 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