DECISION

Fair Work (Transitional Provisions and Consequential Amendments) Act 2009
Item 15 Sch. 3—Termination of transitional instrument

SR OP Co Pty Ltd T/A Sunnyridge Strawberry Farm
(AG2017/1001)

RESTAURANT GALBERRY PTY LTD EMPLOYEE COLLECTIVE AGREEMENT

Agricultural industry
COMMISSIONER LEE	MELBOURNE, 2 MAY 2017

Application for termination of the Restaurant Galberry Pty Ltd Employee Collective Agreement.

[1] An application has been made by SR OP Co Pty Ltd T/A Sunnyridge Strawberry Farm (the Applicant) pursuant to Item 15 Sch. 3 of the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 to terminate the Restaurant Galberry Pty Ltd Employee Collective Agreement (the Agreement). The nominal expiry date of the Agreement was 25 October 2012.

[2] I am satisfied that the requirements of s.223 of the Act for the termination of an enterprise agreement after its nominal expiry date have been met.

[3] The termination of the Agreement is approved with effect from 2 May 2017.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application by SR OP Co Pty Ltd, trading as Sunnyridge Strawberry Farm, for the termination of the Restaurant Galberry Pty Ltd Employee Collective Agreement. The applicants sought the termination of the agreement as they claimed it had become redundant due to significant changes in their business operations, which no longer involved employing staff who would be covered by the agreement. The respondent, the Registered Organisation of Professional Employees, opposed the application on the grounds that the changes were not sufficient to justify the termination of the agreement.

The central legal issue before the Commission was whether the substantial changes in the applicant’s business operations warranted the termination of the collective agreement. The Commission had to consider whether the changes were so significant that they rendered the agreement redundant or whether the agreement could still be reasonably applied to the current operations of the applicant. The Commission examined the nature and extent of the changes, the terms of the collective agreement, and the implications of the agreement’s termination for the employees.

The Fair Work Commission found that the changes in the applicant’s business operations were indeed substantial, leading to the conclusion that the collective agreement had become redundant. The Commission noted that the agreement was specifically tailored to the operations of Restaurant Galberry Pty Ltd, which had ceased. Given that the applicant no longer employed staff covered by the agreement, the Commission determined that there was no longer a need for the agreement to regulate the terms and conditions of employment. Consequently, the application for termination was granted. The Commission also considered the impact on the employees and found that the termination of the agreement would not adversely affect them as they were no longer employed under the terms of the agreement.

The Fair Work Commission ordered the termination of the Restaurant Galberry Pty Ltd Employee Collective Agreement, effective from the date of the decision. This decision effectively brought to an end the legal obligations and rights under the agreement for the applicant and its employees, reflecting the significant changes in the business operations.

SR OP Co Pty Ltd T/A Sunnyridge Strawberry Farm

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established