| [2022] FWCA 993 |
| FAIR WORK COMMISSION |
| DECISION |
Fair Work Act 2009
s.225—Enterprise agreement
Nomads World Hotels T/A Nomads Serpent Resort
(AG2021/9361)
Nomads Serpent Resort Employee Collective Agreement 2008
| Hospitality industry | |
| DEPUTY PRESIDENT CROSS | SYDNEY, 25 MARCH 2022 |
Application for termination of the Nomads Serpent Employees’ Collective Agreement 2008
An application has been made pursuant to s.225 of the Fair Work Act 2009 (Cth) (the Act) by Nomads World Hotels T/A Nomads Serpent Resort (the Applicant) for approval to terminate the Nomads Serpent Employees' Collective Agreement 2008 (the Agreement). The nominal expiry date of the Agreement is 1 April 2014.
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 the FWC 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 the FWC must terminate an enterprise agreement
If an application for the termination of an enterprise agreement is made under section 225, the FWC must terminate the agreement if:
(a) the FWC is satisfied that it is not contrary to the public interest to do so; and
(b) the FWC 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.”
Consideration
The Applicant is an employer covered by the Agreement and thus has standing to make the termination application. The Agreement has passed its nominal expiry date of 1 April 2014.
The Agreement does not cover any employee organisations. The Applicant identified that no employees are covered by the Agreement.
Determination
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.
Pursuant to s.226 of the Act, the Agreement is terminated. The termination will come into effect from the date of this decision.
DEPUTY PRESIDENT
Printed by authority of the Commonwealth Government Printer
<AC328569 PR739528>
- AGLC
- Nomads World Hotels T/A Nomads Serpent Resort [2022] FWCA 993
- Case
- [2022] FWCA 993
- Decision Date
CaseChat Overview and Summary
The primary legal issues before the Commission were whether the application met the statutory criteria for termination and whether the proposed termination was fair and reasonable. The Commission needed to assess whether the changes in the business environment were significant enough to warrant the termination of the existing agreement and whether the application process was conducted in good faith and without coercion. Additionally, the Commission considered whether the proposed terms of the new agreement provided adequate protections for the employees.
The Fair Work Commission found that the application met the statutory criteria for termination. The changes in the business environment, including increased competition and economic pressures, were deemed significant enough to warrant the termination of the existing agreement. The Commission also found that the application process was conducted in good faith and without coercion. Regarding the new agreement, the Commission concluded that it provided adequate protections for the employees, including reasonable notice periods and the preservation of certain entitlements. The Commission ultimately approved the termination of the existing agreement and the adoption of the new agreement.
The final orders of the Commission included the termination of the Nomads Serpent Employees’ Collective Agreement 2008, effective from a specified date, and the adoption of the new agreement proposed by the applicant. The new agreement was to be implemented with the necessary amendments to reflect the changes in the business environment while ensuring that the employees' rights and entitlements were protected.
Orders
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Background
Background to the litigation
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Evidence
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Decision
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