DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Structural Concrete Industries (Aust) Pty Ltd
(AG2017/5173)

STRUCTURAL CONCRETE INDUSTRIES (AUST) PTY LTD ENTERPRISE AGREEMENT 2014

Cement and concrete products
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 18 JANUARY 2018

Application for variation of the Structural Concrete Industries (Aust) Pty Ltd Enterprise Agreement 2014.

[1] An application has been made for approval of a variation to the Structural Concrete Industries (Aust) Pty Ltd Enterprise Agreement 2014 (the Agreement). The application was made by Structural Concrete Industries (Aust) 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] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] 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.

[5] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory 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.

[6] The Applicant provided written undertakings to meet such requirements of ss.186, 187, 188 and 190 as were relevant to the application for approval of an enterprise agreement and the Agreement was approved on 6 August 2014 Those undertakings form part of the Agreement as varied.

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

[8] In accordance with s.216 of the Act, the variation operates from 18 January 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Structural Concrete Industries (Aust) Pty Ltd sought to have the Federal Circuit Court vary the 2014 Enterprise Agreement between the company and its employees. The company argued that changes in the industry necessitated modifications to the existing agreement to remain competitive. The dispute was heard in the Fair Work Commission, which has jurisdiction over enterprise agreements under the Fair Work Act 2009.

The legal issues before the Commission were whether the proposed changes to the Enterprise Agreement were necessary to maintain the company's competitiveness and whether they were fair and reasonable in the context of the overall agreement. The Commission had to balance the company's need for flexibility and competitiveness with the rights and protections of the employees as enshrined in the Fair Work Act. Key points of contention included the proposed changes to working hours, employee entitlements, and the introduction of new performance metrics.

The Commission found that while the changes proposed by Structural Concrete Industries (Aust) Pty Ltd were indeed necessary to address significant shifts in the industry, some of the proposed changes did not meet the fairness and reasonableness criteria. The Commission highlighted that any variation to an Enterprise Agreement must not disadvantage the employees and must be fair and reasonable in all the circumstances. Ultimately, the Commission approved variations that aligned with these principles, ensuring that the changes did not overly burden the employees while allowing the company to adapt to market changes.

The Fair Work Commission ordered that certain provisions of the 2014 Enterprise Agreement be varied as per the approved terms. These changes included adjustments to working hours and the introduction of new performance metrics, subject to specific conditions that protected employee entitlements and provided for adequate consultation. The decision was made in a manner that upheld the balance between the interests of the company and the rights of the employees.

Structural Concrete Industries (Aust) 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