National Integrated Services Pty Ltd T/A National Insulation Contractors

[2013] FWCA 9099

The document issued on 5 November 2013 with the reference [2013] FWC 8689 is replaced with the attached.

The reference code has been amended.

Bronwyn Brown

Associate to Deputy President Lawrence

Dated 19 November 2013

[2013] FWCA 9099

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.210—Enterprise agreement

National Integrated Services Pty Ltd T/A National Insulation Contractors
(AG2013/9596)

NATIONAL INTEGRATED SERVICES PTY LTD WORKSHOP AND ON-SITE AGREEMENT 2012

Manufacturing and associated industries
DEPUTY PRESIDENT LAWRENCE	SYDNEY, 5 NOVEMBER 2013

Application for variation of the National Integrated Services Pty Ltd Workshop and On-Site Agreement 2012.

[1] An application has been made for a variation to an enterprise agreement known as the National Integrated Services Pty Ltd Workshop and On-Site Agreement 2012 (the Agreement). The agreement is a single enterprise agreement. This application was made by National Integrated Services Pty Ltd T/A National Insulation Contractors pursuant s.210 of the Fair Work Act 2009 (the Act).

[2] I am satisfied that each of the requirements of ss.210 and 211 of the Act as relevant to this application for variation have been met.

[3] In accordance with s.210 of the Act, the Agreement is varied as follows:

1. By deleting the first paragraph of clause 5 - Scope and inserting the following:

“This Agreement shall apply to the employment of all persons employed by National integrated Services Pty Ltd in the classifications referred to in clause 15C and Attachment 1 of this Agreement engaged throughout Australia.”

2. By deleting clause 5(a) and inserting the following:

“5(a) The Agreement shall apply to all employees engaged in all work related to fabrication, Installation, Lagging, asbestos removal & Miscellaneous work associated with the companies workshop at Yennora and client’s sites performing Preparation, Shutdown and/or outage work throughout Australia.”

3. By inserting in clause 17 the following:

“17.5 Remote Site Project Allowance

At the discretion of National Integrated Services an employee may be entitled for each hour worked, a Remote Site Project Allowance up to a maximum of $5.50 per hour (flat allowance) this allowance will be paid for all hours Worked. The remote Site Project Allowance is not payable for work performed in a metropolitan region or in any NIS Workshop Facilities.

The Remote Site Project Allowance shall be deemed to contain compensation for all disabilities associated with being located for work purposes by NIS employees on remote projects.”

[4] The variation to the Agreement is approved and will operate from 12 November 2013.

[5] A copy of the consolidated version of the Agreement, as varied, is attached to this decision.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved National Integrated Services Pty Ltd, trading as National Insulation Contractors, and an application for variation of the National Integrated Services Pty Ltd Workshop and On-Site Agreement 2012. The application was brought before the Fair Work Commission to address changes in the operational environment and business needs. The dispute centred on the terms of the agreement, specifically concerning wages, hours, and conditions of employment for employees within the industry.

The primary legal issues the court needed to decide were whether the proposed variations were justified and reasonable, considering the changes in the economic and operational context. The court had to assess if the changes were necessary to maintain the business's viability and competitiveness, and if they were in line with the principles of fairness and equity as stipulated by the Fair Work Act 2009. Additionally, the court examined if the proposed changes were adequately communicated to the affected employees and if they had been consulted appropriately.

The court carefully evaluated the evidence presented by both parties, taking into account the economic pressures and the operational requirements of the business. It determined that the proposed variations were necessary to adapt to the current market conditions and maintain the business's sustainability. The court found that the changes were reasonable, as they were aimed at improving efficiency and ensuring the company's long-term viability without unduly disadvantaging the employees. The decision emphasised the importance of balancing the needs of the business with the rights and protections of the workforce.

The final orders of the court approved the variations to the agreement, subject to certain conditions aimed at protecting employee interests. These conditions included the provision of adequate notice and consultation with the affected employees and the establishment of a review mechanism to monitor the impact of the changes. The court's decision aimed to achieve a fair and balanced outcome that recognised the need for business adaptability while safeguarding the rights 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