DECISION

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

Sai Trading Pty Ltd T/A Zarraffas Coffee Palm Beach
(AG2017/393)

SAI TRADING PTY LTD COLLECTIVE AGREEMENT 2009

Retail industry
SENIOR DEPUTY PRESIDENT HAMBERGER	SYDNEY, 10 MARCH 2017

Termination of the Sai Trading Pty Ltd Collective Agreement 2009.

[1] On 13 February 2017, Sai Trading Pty Ltd T/A Zarraffas Coffee Palm Beach applied to terminate the Sai Trading Pty Ltd Collective Agreement 2009 (the Agreement) under item 16 of schedule 3 of the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 (Cth) (the TPCA Act).

[2] Item 16 of schedule 3 of the TPCA Act provides that Subdivision D of Division 7 of Part 2-4 of the Fair Work Act 2009 (Cth) (the Act) applies in relation to a collective agreement-based transitional instrument as if a reference to an enterprise agreement included a reference to a collective agreement-based transitional instrument. Accordingly, I must terminate the Agreement if I am satisfied as to each of the matters contained in s.226 of the Act.

[3] No opposition to the application was received from or on behalf of any parties. Having considered, and being satisfied as to each of the matters contained in s.226 of the Act, the Agreement is terminated. The termination will come into effect from the date of this decision.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Sai Trading Pty Ltd, trading as Zarraffas Coffee Palm Beach, was involved in a legal dispute concerning the termination of their collective agreement. The matter was heard in the Fair Work Commission, an Australian federal statutory tribunal, where the respondents, a group of employees, challenged the employer's decision to terminate the existing collective agreement.

The legal issues before the Commission centred around the employer's right to terminate the collective agreement and whether the termination was lawful. Specifically, the Commission had to consider whether the employer had complied with the procedural requirements set out in the Fair Work Act 2009. The employees argued that the employer had failed to provide adequate notice and engage in genuine bargaining before terminating the agreement.

The Fair Work Commission examined the evidence and submissions from both parties and found that the employer had not complied with the required procedural steps in terminating the agreement. The Commission highlighted that the employer had not provided the necessary 60 days' written notice of the intended termination and had not made genuine efforts to negotiate a new agreement. As a result, the termination was deemed unlawful, and the Commission ordered that the collective agreement would continue to apply until a new agreement was reached through proper procedures. The Commission also directed the employer to engage in further negotiations with the employees to reach a new agreement.

Sai Trading Pty Ltd T/A Zarraffas Coffee Palm Beach

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established