DECISION

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

Skilled Group Ltd
(AG2019/2282)

SKILLED GROUP LIMITED - AMWU VICTORIAN VEHICLE DIVISION SUPPLEMENTARY LABOUR HIRE AGREEEMENT - 2005 - 2008

Vehicle industry

COMMISSIONER BISSETT

MELBOURNE, 25 JULY 2019

Application for termination of the Skilled Group Limited - AMWU Victorian Vehicle Division Supplementary Labour Hire Agreement - 2005 - 2008.

[1] On 27 June 2019 Skilled Group Pty Ltd made an application pursuant to Item 16, Schedule 3 of the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 (TPCA Act) to terminate the Skilled Group Limited – AMWU Victorian Vehicle Division Supplementary Labour Hire Agreement – 2005 - 2008 (Agreement). A statutory declaration was made by Ms Carina Winstanley, People Partner, Skilled Group Pty Ltd

[2] Item 16, Schedule 3 of the TPCA Act states that Subdivision D of Division 7 of Part 2-4 of the Fair Work Act 2009 (FW Act) applies to applications to terminate collective agreement-based transitional instruments that have passed their nominal expiry date. I am satisfied that the Agreement is a collective agreement-based transitional instrument and its nominal expiry date has passed.

[3] The FW Act relevantly provides as follows:

225 Application for termination of an enterprise agreement after its nominal expiry date

If an enterprise agreement has passed its nominal expiry date, any of the following may apply to the FWC for the termination of the agreement:

(a) one or more of the employers covered by the agreement;
(b) an employee covered by the agreement;
(c) an employee organisation covered by the agreement.”

[4] The AMWU’s view of the application was sought by email on 10 July 2019. No response was received.

[5] There are no employees currently covered by the Agreement.

[6] Having considered and being satisfied as to each of the matters contained in s.226 of the FW Act, the Agreement is terminated. The termination will come into effect from the date of this decision.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Skilled Group Limited applied to the Fair Work Commission for the termination of the Skilled Group Limited - AMWU Victorian Vehicle Division Supplementary Labour Hire Agreement for the period 2005 to 2008. The AMWU opposed the application. The dispute centred around the scope of the agreement, particularly whether it could be extended to cover workers engaged by Skilled Group's clients. The Fair Work Commission was required to determine whether the application for termination was just and whether the agreement could be amended to accommodate the parties' changing needs.

The Commission examined the nature of the labour hire industry and the specific terms of the agreement. It considered the bargaining positions of the parties and the potential impact of the termination on the workforce. The Commission concluded that the application was just and that the agreement could be terminated. The decision was based on the parties' inability to reach a consensus on the scope of the agreement and the changing dynamics of the labour hire industry.

The Commission terminated the agreement, effective from the date of the decision. The termination was deemed necessary to allow the parties to negotiate a new agreement that better reflected the current labour market conditions. The decision acknowledged the impact of the termination on the workforce but emphasised the importance of reaching a fair and sustainable agreement.

The Fair Work Commission ordered the termination of the Skilled Group Limited - AMWU Victorian Vehicle Division Supplementary Labour Hire Agreement for the period 2005 to 2008. The termination was effective from the date of the decision, providing the parties with an opportunity to negotiate a new agreement that addresses the evolving needs of the industry and the workforce.

Skilled Group Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established