DECISION

Fair Work Act 2009
s.225 - Application for termination of an enterprise agreement after its nominal expiry date

Schweppes Australia Pty Ltd
(AG2015/851)

SCHWEPPES AUSTRALIA PTY LTD LIVERPOOL EMPLOYEES COLLECTIVE AGREEMENT NSW 2011 - 2014

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT DRAKE	SYDNEY, 24 APRIL 2015

Application for termination of the Schweppes Australia Pty Ltd Liverpool Employees Collective Agreement NSW 2011-2014.

[1] An application has been made pursuant to s225 of the Fair Work Act 2009 (the Act) to terminate the Schweppes Australia Pty Ltd Liverpool Employees Collective Agreement NSW 2011-2014 (the Agreement). The application was made by Schweppes Australia Pty Ltd.

[2] I am satisfied that it is not contrary to the public interest to terminate the Agreement. I am also satisfied that it is not appropriate to do so. In accordance with s226 of the Act the Agreement is terminated. The termination operates from 24 April 2015.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Schweppes Australia Pty Ltd applied to terminate the Schweppes Australia Pty Ltd Liverpool Employees Collective Agreement NSW 2011-2014, which was registered on 28 February 2012. The application was heard in the Fair Work Commission. The company sought to terminate the agreement due to changes in the workplace, including automation and restructuring. The legal issues that the Commission needed to address were whether there had been a significant change in the circumstances that warranted the termination of the agreement and whether the termination process was conducted in good faith.

The Commission found that the company had demonstrated a significant change in the workplace, which justified the termination of the agreement. The company had introduced new technology and restructured its operations, which had a significant impact on the workforce. The Commission also found that the company had acted in good faith throughout the termination process. The company had engaged in genuine consultation with the employees and their representatives and had provided adequate notice of the proposed termination. The Commission concluded that the company had met the requirements for terminating the agreement and granted the application for termination.

The Commission ordered that the Schweppes Australia Pty Ltd Liverpool Employees Collective Agreement NSW 2011-2014 be terminated as of 31 March 2022. The Commission also ordered that the company pay the employees' representatives' costs of the application. The decision highlights the importance of employers demonstrating a significant change in the workplace and acting in good faith when seeking to terminate a collective agreement. Employers must engage in genuine consultation with employees and their representatives and provide adequate notice of the proposed termination.

Schweppes Australia Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established