Steggles Pty Limited

[2022] FWCA 3180

[2022] FWCA 3180

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Steggles Pty Limited

(AG2022/3701)

Steggles Pty Limited (Beresfield Feedmill) Enterprise Agreement 2019-2022

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT BOYCE	SYDNEY, 13 SEPTEMBER 2022

Application for termination of the Steggles Pty ltd (Beresfield Feedmill) Enterprise Agreement 2019-2022

1. An application has been made by Steggles Pty Ltd (Applicant) for the termination of the Steggles Pty ltd (Beresfield Feedmill) Enterprise Agreement 2019-2022 (Agreement).

1. The application is made under s.225 of the Fair Work Act 2009 (Act), which allows for a party to apply to the Commission to terminate an enterprise agreement that has passed its nominal expiry date.

1. Relevantly, s.226 of the Act reads:

“226 When the FWC must terminate an enterprise agreement

If an application for the termination of an enterprise agreement is made under section 225, the FWC must terminate the agreement if:

(a) the FWC is satisfied that it is not contrary to the public interest to do so; and

(b) the FWC considers that it is appropriate to terminate the agreement taking into account all the circumstances including:

(i) the views of the employees, each employer, and each employee organisation (if any), covered by the agreement; and

(ii) the circumstances of those employees, employers and organisations including the likely effect that the termination will have on each of them”.

1. The Applicant employer has provided, in support of its termination application, a statutory declaration and Form F24C – Declaration in relation to termination of an enterprise agreement after the nominal expiry date from Ms Sonia Takla, National IR Manager. The statutory declaration included an explanation of the steps taken by the Applicant to consult with employees regarding the potential termination of the Agreement. Ms Takla outlined that the extant application was being made concurrently with an application under s.210 of the Act to vary the Steggles Pty Ltd Cardiff Feedmill Enterprise Agreement 2021- 2025 (Cardiff Agreement) such that it would cover the employees currently covered by the Agreement.

1. Ms Takla stated that on 19 August 2022 employees covered by the Agreement as well as those covered by the Cardiff Agreement unanimously approved a variation to the Cardiff Agreement to extend its coverage to include those covered by the Agreement. Prior to the vote it was explained to employees that a consequence of so extending the coverage of the Cardiff Agreement would be that the Agreement would no longer apply to them, and that the Applicant would seek to have the Agreement terminated. The Cardiff Agreement is said to provide higher wages and generally more beneficial conditions than the Agreement. 

1. The United Workers’ Union (UWU) consent to the termination of the Agreement.

Consideration

1. I am satisfied that termination of the Agreement is not contrary to the public interest. Taking into account the views of the Applicant, its relevant employees, and the UWU, I do consider in the circumstances here that it is appropriate to terminate the Agreement. Accordingly, the Agreement is terminated pursuant to s.227 of the Act. The termination takes effect on and from the date of this decision.

DEPUTY PRESIDENT

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