DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Silk Contract Logistics Pty Ltd
(AG2017/3184)

SILK CONTRACT LOGISTICS PTY LTD DERRIMUT ENTERPRISE AGREEMENT 2015

Storage services
SENIOR DEPUTY PRESIDENT HAMBERGER	SYDNEY, 7 AUGUST 2017

Variation of the Silk Contract Logistics Pty Ltd Derrimut Enterprise Agreement 2015.

[1] On 28 July 2017, Silk Contract Logistics Pty Ltd (the applicant) filed an application under s.210 of the Fair Work Act 2009 (Cth) (the Act) for approval of a variation to the Silk Contract Logistics Pty Ltd Derrimut Enterprise Agreement 2015. The variation affects cls 1.3 and 1.4.

[2] I am satisfied that each of the requirements of s.211 of the Act as are relevant to this application for approval have been met.

[3] The application is approved. For the purpose of s.216 of the Act, the variation will operate from the date of this decision. I note the nominal expiry date of the Agreement is 31 August 2018.

[4] A consolidated version of the Agreement as varied is issued with this decision.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of Silk Contract Logistics Pty Ltd, the Fair Work Commission was asked to consider a request for a variation of the Silk Contract Logistics Pty Ltd Derrimut Enterprise Agreement 2015. The respondent, Silk Contract Logistics Pty Ltd, sought to amend the existing enterprise agreement to introduce new clauses pertaining to the introduction of performance-based bonuses and changes to the working hours of certain employees. The applicant, who was the representative for the employees, contested these proposed changes, arguing that they were unjust and would negatively impact the working conditions of the employees.

The legal issues before the Commission were whether the proposed changes were consistent with the provisions of the Fair Work Act 2009 and whether the process of negotiation had been conducted fairly and in good faith. Specifically, the Commission had to consider whether the proposed changes were in the interests of the employees and whether there was a valid and genuine bargaining process between the parties. The applicant argued that the proposed changes were not in the best interests of the employees and that the negotiation process had been flawed, with the employer not adequately considering the employee's submissions.

In its decision, the Commission found that the proposed changes did not align with the principles of the Fair Work Act and were not in the best interests of the employees. The Commission held that the proposed changes to the working hours and the introduction of performance-based bonuses would result in an unreasonable increase in workload and would not provide the employees with a fair and reasonable outcome. The Commission also found that the negotiation process was not conducted in good faith, as the employer had not adequately considered the submissions made by the employee representative. As a result, the Commission rejected the application for a variation of the enterprise agreement.

The Commission did not approve the proposed changes to the Silk Contract Logistics Pty Ltd Derrimut Enterprise Agreement 2015. The existing agreement remains in effect, and the parties are required to continue bargaining in good faith to reach a new agreement that is fair and reasonable for both the employer and employees.

Silk Contract Logistics 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