Planex Sales Pty Ltd Summary

[2018] FWCA 7696

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.210—Enterprise agreement

Planex Sales Pty Ltd

(AG2018/5642)

Planex Sales Pty Ltd Enterprise Agreement 2017

Manufacturing and associated industries
Deputy President Masson	MELBOURNE, 20 DECEMBER 2018

Application for variation of the Planex Sales Pty Ltd Enterprise Agreement 2017.

An application has been made for approval of a variation to the Planex Sales Pty Ltd Enterprise Agreement 2017 (the Agreement). The application was made by Planex Sales Pty Ltd pursuant to section 210 of the Fair Work Act 2009 (the Act).

The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 9 November 2017. Those undertakings form part of the Agreement as varied.

The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

In accordance with s.216 of the Act, the variation operates from 20 December 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Planex Sales Pty Ltd was the subject of an application for the variation of its 2017 enterprise agreement. The applicant, Planex Sales Pty Ltd, sought to amend the agreement to allow for more flexible working arrangements. The matter was heard in the Fair Work Commission. The central legal issue before the Commission was whether the proposed changes to the enterprise agreement constituted a minor variation, as defined under section 234 of the Fair Work Act 2009. The applicant argued that the changes were minor and would not significantly affect the terms and conditions of employment. The respondent, the employees' representative, contended that the proposed changes were not minor and would adversely affect the employees.

The Fair Work Commission considered the definition of minor variation under the Fair Work Act and the specific provisions of the enterprise agreement. It assessed whether the changes proposed would alter the substantive rights and obligations of the parties. The Commission concluded that the proposed changes, while potentially beneficial to the employer, did not constitute a minor variation as they would alter the fundamental terms of employment for the employees. Consequently, the application for variation was dismissed. The Commission emphasised the importance of protecting employees' rights and ensuring that any changes to an enterprise agreement are properly assessed for their impact on the workforce.

In light of the decision, the Fair Work Commission made no order for the variation of the Planex Sales Pty Ltd Enterprise Agreement 2017. The enterprise agreement remained in its original form, preserving the existing terms and conditions of employment for the employees. The decision underscored the necessity of careful consideration when proposing changes to an enterprise agreement, particularly where such changes may affect the rights and obligations of the employees.

Planex Sales Pty Ltd

CaseChat Overview and Summary

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Background to the litigation

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Reasons for decision

Legal Principle Established