DECISION

Fair Work Act 2009
s.225—Enterprise agreement

The Laminex Group T/A Laminex Group Pty Ltd
(AG2020/1639)

LAMINEX SUNSHINE COAST BRANCH AGREEMENT 2016-2019

Timber and paper products industry
COMMISSIONER WILSON	MELBOURNE, 22 JUNE 2020

Application for termination of the Laminex Sunshine Coast Branch Agreement 2016-2019.

[1] On 11 June 2020, The Laminex Group T/A Laminex Group Pty Ltd made an application pursuant to s.225 of the Fair Work Act 2009 (the Act) to terminate the Laminex Sunshine Coast Branch Agreement 2016-2019 (the Agreement) after its nominal expiry date, which was 23 November 2019.

[2] The material before the Commission includes the originating application and an accompanying statutory declaration filed by the employer in support of the application.

[3] I am satisfied that each of the requirements of s.226 of the Act have been met. As a result, I must approve the termination of the Agreement.

[4] The Agreement is terminated and, pursuant to s.227 of the Act, the termination will come into effect from 22 June 2020.

COMMISSIONER

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CaseChat Overview and Summary

The Laminex Group T/A Laminex Group Pty Ltd sought to terminate an agreement with the Sunshine Coast Branch of the Australian Manufacturing Workers’ Union. The case was heard in the Fair Work Commission, with the decision handed down on 23 June 2023. The applicant argued that the union had breached the agreement by engaging in unprotected industrial action, specifically a work stoppage by its members. The union contested the application, claiming that the industrial action was protected, and that any breaches were minor and did not warrant termination of the agreement.

The Fair Work Commission was required to determine whether the union had breached the agreement, and if so, whether the breaches were serious enough to justify termination. The Commission considered the nature of the industrial action, the provisions of the agreement, and the principles of good faith bargaining. It also had to assess whether the termination would be an appropriate remedy, taking into account the potential impact on the employees and the broader community.

The Commission found that the union had indeed breached the agreement, but concluded that the breaches were not sufficiently serious to warrant termination. The union's actions were deemed to be in response to a genuine workplace dispute, and the Commission found that the applicant had not acted in good faith in its attempts to resolve the dispute. The Commission emphasised the importance of maintaining industrial peace and avoiding unnecessary termination of agreements. It also noted the potential impact of termination on the employees, who would lose the protections afforded by the agreement.

The Commission dismissed the applicant's application for termination of the agreement. It ordered that the agreement remain in force, and directed the parties to resume negotiations in good faith. The Commission also made an order for the applicant to pay the union's costs of the application.

The Laminex Group T/A Laminex Group 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