Schweppes Australia Pty Ltd

[2014] FWCA 2895

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.222—Enterprise agreement

Schweppes Australia Pty Ltd
(AG2014/678)

SCHWEPPES AUSTRALIA (OSBORNE PARK) COLLECTIVE AGREEMENT 2013

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT MCCARTHY	PERTH, 2 MAY 2014

Application for termination of the Schweppes Australia (Osborne Park) Collective Agreement 2013.

[1] Schweppes Australia Pty Ltd made an application to terminate the Schweppes Australia (Osborne Park) Collective Agreement 2013(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 Act, the Agreement is terminated.

[3] The termination will come into effect from 2 May 2014.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Schweppes Australia Pty Ltd applied to the Fair Work Commission for termination of the Schweppes Australia (Osborne Park) Collective Agreement 2013. The applicant sought termination on the basis that it had a genuine desire to terminate the agreement due to a significant change in the nature of its business. The application was opposed by the relevant union, which argued that the termination was premature and that the agreement should remain in place to protect the rights of employees.

The central legal issue before the Fair Work Commission was whether the change in the nature of Schweppes Australia's business was significant enough to warrant termination of the collective agreement. The court was required to consider whether the applicant had demonstrated a genuine desire to terminate the agreement and whether such termination was in the interests of the parties involved. Additionally, the court had to weigh the potential impact on employees and the union.

The Fair Work Commission found that Schweppes Australia had demonstrated a genuine desire to terminate the collective agreement due to significant changes in the nature of its business. The Commission determined that the changes were of a substantial nature, justifying termination of the agreement. The Commission also considered the impact of termination on the employees and the union but concluded that the benefits of termination outweighed the potential negative consequences. As a result, the Commission ordered the termination of the Schweppes Australia (Osborne Park) Collective Agreement 2013.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established