Stramit Corporation Pty Limited T/A Eziform Sheet Metal, Stramit Building Products, Taurean Door Systems

[2020] FWCA 6515

[2020] FWCA 6515

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.225 - Application for termination of an enterprise agreement after its nominal expiry date

Stramit Corporation Pty Limited T/A Eziform Sheet Metal, Stramit Building Products, Taurean Door Systems
(AG2020/3628)

STRAMIT BUILDING PRODUCTS- EZIFORM (QUEENSLAND) SITE ENTERPRISE AGREEMENT 2017

Manufacturing and associated industries
COMMISSIONER SPENCER	BRISBANE, 4 DECEMBER 2020

Application for termination of the Stramit Building Products- Eziform (Queensland) Site Enterprise Agreement 2017.

[1] An application pursuant to s.225 of the Fair Work Act 2009 (the Act) was made by Stramit Corporation Pty Limited T/A Eziform Sheet Metal, Stramit Building Products, Taurean Door Systems (the Applicant) to terminate the Stramit Building Products- Eziform (Queensland) Site Enterprise Agreement 2017 (the Agreement).

[2] The Agreement is an Enterprise Agreement that has passed its nominal expiry date. The nominal expiry date for the Agreement was 30 September 2018.

[3] Sections 225 and 226 of the Act provide:

“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.

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.”

[4] Mr Michael Yanko, People and Performance Business Partner for the Applicant, filed a Form 24C Statutory Declaration in support of the application to terminate the Agreement. Mr Yanko stated that no employees are currently covered by the Agreement. Mr Yanko further stated that Stramit Corporation ceased operating its Eziform business in April 2019. Eziform was based at the Stramit Crestmead manufacturing facility, co-located with other Stramit departments. Mr Yanko stated that following a consultation process, all employees employed under the Eziform Agreement at the time were either transferred within the same employer (Stramit Corporation) to work in another department at the same location, or left the business due to their positions having been made redundant.

[5] Mr Yanko also stated that those employees who transferred to another Stramit Corporation department are covered by the Stramit Building Products and Taurean Doors Systems Crestmead (Queensland) Enterprise Agreement 2018. Mr Yanko further stated that the Eziform business has ceased to operate as a separate business, and that Stramit has no intention of reinstating the Eziform business in the future.

[6] It was submitted on behalf of the Applicant, that in Stramit’s view, the termination of the Agreement would not have any effect on any Stramit Corporation employees as there are no employees covered by the Agreement, nor will there be in future. Nor would it, in the Applicant’s view, have any effect on other Stramit employees, Stramit itself, its suppliers or customers, or the general public.

[7] The Applicant submitted that it was not aware of anything that may indicate it would be contrary to the public interest to terminate the Agreement.

[8] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), being a party to the application, was contacted requesting that they advise whether they supported the termination of the Agreement or opposed the termination. The AMWU confirmed in writing that they did not oppose the termination.

[9] Taking into account the information provided in response to the matters in s.226 of the Act, and in accordance with the above submissions, I consider it appropriate to terminate the agreement on the basis that the material satisfies the legislative requirements that the termination of the Agreement is appropriate. I am satisfied it is not contrary to the public interest to terminate the Agreement. The application is therefore granted, and the Agreement is terminated. Termination of the Agreement will take effect from 4 December 2020.

[10] I Order accordingly.

COMMISSIONER

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