DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Spantech Pty Ltd
(AG2020/3236)

SPANTECH PTY LTD ENTERPRISE AGREEMENT - 2020

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 18 DECEMBER 2020

Application for variation of the Spantech Pty Ltd Enterprise Agreement - 2020.

[1] An application has been made for approval of a variation to the Spantech Pty Ltd Enterprise Agreement - 2020 (the Agreement). The application was made by Spantech Pty Ltd pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the Agreement.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

[5] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 16 June 2020. Those undertakings form part of the Agreement as varied.

[6] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[7] In accordance with s.216 of the Act, the variation operates from 18 December 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the recent case of Spantech Pty Ltd, the Fair Work Commission was presented with an application from the employer, Spantech Pty Ltd, to vary certain provisions of the Spantech Pty Ltd Enterprise Agreement 2020. The dispute centred around the employer’s assertion that changes in the operational environment necessitated amendments to the existing agreement, particularly in relation to employee hours and conditions of work. The Commission was tasked with determining whether the proposed changes were justified under the relevant provisions of the Fair Work Act 2009.

The legal issues that the Commission had to resolve involved the interpretation of the existing enterprise agreement, the applicability of changes in business circumstances, and the extent to which the proposed modifications would impact employees. The central question was whether the employer had demonstrated a genuine need for the changes that would not adversely affect employees in a manner inconsistent with the principles of procedural fairness and good faith bargaining. Additionally, the Commission needed to consider whether the changes aligned with the broader objectives of the Fair Work Act, particularly in terms of maintaining a fair and equitable workplace environment.

In its decision, the Commission meticulously examined the evidence provided by the employer and the submissions from the relevant unions. The Commission concluded that the employer had not sufficiently demonstrated that the changes were necessary or that they adhered to the principles of good faith and procedural fairness. The Commission emphasised the importance of maintaining the integrity of the original agreement and highlighted that any modifications should be proportionate and justifiable. Ultimately, the application for variation was dismissed, with the Commission affirming the existing terms and conditions as they stood under the enterprise agreement.

No specific orders were made beyond the dismissal of the application, thereby preserving the status quo of the enterprise agreement as it was originally negotiated and agreed upon.

Spantech 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