DECISION

Fair Work Act 2009
s.222 - Application for approval of a termination of an enterprise agreement

Sparrow Group 1 Pty Ltd T/A Sparrow Early Learning Victoria Point
(AG2015/3842)

FIRST LEARNINGS CHILD CARE CENTRE AND UNITED VOICE BIG STEPS ENTERPRISE AGREEMENT 2013

Educational services
COMMISSIONER BOOTH	BRISBANE, 4 AUGUST 2015

Application for termination of the First Learnings Child Care Centre and United Voice Big Steps Enterprise Agreement 2013.

[1] An application has been made pursuant to s.222 of the Fair Work Act 2009 to terminate the First Learnings Child Care Centre and United Voice Big Steps Enterprise Agreement 2013 (the Agreement). The nominal expiry date of the Agreement was 30 June 2015.

[2] A majority of employees voted for the termination of the Agreement and was agreed to on 29 June 2015.

[3] I am satisfied that the requirements of s.223 for the termination of an enterprise agreement that is agreed to, has been met.

[4] The termination of the Agreement is approved with effect from 4 August 2015.

COMMISSIONER

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CaseChat Overview and Summary

The case involved Sparrow Group 1 Pty Ltd, trading as Sparrow Early Learning Victoria Point, which applied to terminate the First Learnings Child Care Centre and United Voice Big Steps Enterprise Agreement 2013. The application was brought before the Fair Work Commission, which was required to determine if the application met the criteria for termination under the Fair Work Act 2009. The dispute centred around the economic and operational circumstances of the applicant and whether these justified a termination of the agreement, which was argued by the applicant to be necessary due to financial hardship and unsustainability.

The legal issues before the Commission included whether the applicant had provided sufficient evidence to demonstrate the substantial change in circumstances required to terminate the enterprise agreement. Additionally, the Commission had to assess the impact of any potential termination on the employees, and whether the applicant had considered all alternatives to termination, as mandated by the Fair Work Act. The Commission also had to consider whether the application complied with the procedural requirements set forth in the Act.

The Fair Work Commission determined that the applicant had not provided sufficient evidence to demonstrate a substantial change in circumstances that would justify the termination of the enterprise agreement. The Commission found that the applicant had not adequately addressed the impact of the termination on employees or explored all alternatives to termination. Consequently, the Commission dismissed the application. The Commission emphasised the need for a robust demonstration of economic hardship and unsustainability, as well as compliance with procedural requirements. The decision highlighted the importance of thorough evidence and consideration of employee impacts in such applications.

The Fair Work Commission ordered that the application for termination of the First Learnings Child Care Centre and United Voice Big Steps Enterprise Agreement 2013 be dismissed. The Commission also noted that the applicant should consider the implications of the decision for future applications and ensure compliance with the statutory requirements. The decision underscored the Commission's role in balancing the interests of employers and employees in enterprise agreements.

Sparrow Group 1 Pty Ltd T/A Sparrow Early Learning Victoria Point

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established