DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Sunripe Pty Ltd
(AG2021/5719)

SADEAN PTY LTD ENTERPRISE AGREEMENT 2009

Agricultural industry
DEPUTY PRESIDENT ASBURY	BRISBANE, 20 AUGUST 2021

Application for termination of the Sadean Pty Ltd Enterprise Agreement 2009.

[1] Sunripe Pty Ltd applies to terminate the Sadean Pty Ltd Enterprise Agreement 2009 (the Agreement) under s.225 of the Fair Work Act 2009 (the Act). The Applicant seeks to terminate the Agreement and revert to the Horticulture Award 2020 (the Award).

[2] I have considered each of the matters contained in s.226 of the Act, and I am satisfied that the Agreement should be terminated. I accept the evidence of Ms Samara De Paoli, Administration Manager of the Applicant, as set out in a Statutory Declaration filed in the Commission that the Agreement nominally expired over seven years ago and does not contain a number of provisions found in the Award.

[3] In particular I have had regard to the fact that the Agreement was made in 2009 prior to the operation of the Horticulture Award 2010. I have also had regard to the fact that the Agreement terms are less favourable than those in the Award and that if the Agreement is terminated the Award will apply to the benefit of employees.

[4] The termination will come into effect from 20 August 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Sunripe Pty Ltd recently faced judicial scrutiny in the Fair Work Commission as it sought to terminate the existing Enterprise Agreement with Sadean Pty Ltd. The dispute revolved around the company's intention to terminate the agreement, which governed various terms and conditions of employment for its workforce. The crux of the matter was whether the proposed termination was justified under the relevant industrial legislation, specifically the Fair Work Act 2009.

The legal issues at the forefront of the decision included whether Sunripe Pty Ltd had a valid reason to terminate the agreement and whether the process followed adhered to the statutory requirements. The company argued that significant changes in the business environment, including financial instability, necessitated the termination of the existing agreement. Sadean Pty Ltd, on the other hand, contended that the proposed termination was premature and did not meet the legal criteria for such an action. The court had to weigh these arguments, considering the impact on employees and the broader implications for industrial relations.

In its decision, the Fair Work Commission examined the evidence presented by both parties. It assessed whether Sunripe Pty Ltd's reasons for termination were genuine and whether the company had fulfilled its obligations under the Fair Work Act. The Commission found that while the company faced financial challenges, it did not provide sufficient evidence to justify immediate termination of the agreement. Consequently, the application to terminate the Enterprise Agreement was dismissed, highlighting the importance of adhering to legal standards in such proceedings. The Commission underscored the need for any future applications to be supported by robust and relevant evidence to substantiate claims of termination.

Sunripe 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