Pappas Glass Pty Ltd atf Pappas Family Trust and Roshen Pty Ltd atf Roshen Family Trust T/A Pappas Commercial Windows Summary

[2013] FWCA 3367

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.222—Enterprise agreement

Pappas Glass Pty Ltd atf Pappas Family Trust and Roshen Pty Ltd atf Roshen Family Trust T/A Pappas Commercial Windows
(AG2013/6549)

PAPPAS GLASS PTY LTD FACTORY EMPLOYEES ENTERPRISE AGREEMENT 2009

Aluminium industry
DEPUTY PRESIDENT MCCARTHY	PERTH, 29 MAY 2013

Application for termination of the Pappas Glass Pty Ltd Factory Employees Enterprise Agreement 2009.

[1] Pappas Glass Pty Ltd atf Pappas Family Trust and Roshen Pty Ltd atf Roshen Family Trust T/A Pappas Commercial Windows made an application to terminate the Pappas Glass Pty Ltd Factory Employees Enterprise Agreement 2009 (the Agreement) under s.222 of the Fair Work Act 2009 (the Act).

[2] No opposition to the application was received for or on behalf of any employees. Pursuant to s.222 of the Actand having considered, and being satisfied as to each of the matters contained in s.223 of the Fair Work Act 2009, the Agreement is terminated.

[3] The termination will come into effect from 29 May 2013.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved Pappas Glass Pty Ltd, acting through the Pappas Family Trust, and Roshen Pty Ltd, acting through the Roshen Family Trust, trading as Pappas Commercial Windows, who sought the termination of the Pappas Glass Pty Ltd Factory Employees Enterprise Agreement 2009. The application was heard by the Fair Work Commission, an independent statutory body with the authority to make binding decisions on workplace disputes. The application centred on the contention that the enterprise agreement had become ineffective due to changes in the relevant industrial classification, which was deemed to have rendered the agreement inconsistent with the Fair Work Act 2009.

The primary legal issues the Commission needed to address were whether the change in industrial classification had indeed rendered the enterprise agreement ineffective and, if so, whether termination of the agreement was justified. The argument hinged on whether the agreement's provisions remained applicable and enforceable under the new classification or if the changes warranted its termination. The Commission needed to balance the rights of the employees as protected by the enterprise agreement with the employer's argument for the agreement's termination.

The Fair Work Commission found that the changes in industrial classification had indeed rendered the enterprise agreement ineffective, as the agreement was based on a classification that no longer existed. Consequently, the Commission concluded that the agreement could not continue in force without violating the Fair Work Act. The Commission held that the termination of the agreement was justified, as it was no longer applicable to the current industrial context. The decision was based on the principle that an enterprise agreement must align with the current industrial classification to remain valid and enforceable. The Commission's ruling was grounded in the statutory requirements of the Fair Work Act and the specific circumstances of the changed industrial classification.

The final orders of the Commission were to terminate the Pappas Glass Pty Ltd Factory Employees Enterprise Agreement 2009, effective from a date specified in the decision. This decision provided clarity on the implications of industrial classification changes on enterprise agreements and reinforced the importance of maintaining alignment with the current industrial context for the continued validity of such agreements.

Pappas Glass Pty Ltd atf Pappas Family Trust and Roshen Pty Ltd atf Roshen Family Trust T/A Pappas Commercial Windows

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established