DECISION

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

UGL Engineering Pty Ltd T/A UGL
(AG2017/2439)

POWERSERVE PTY LTD ENTERPRISE AGREEMENT 2010

Electrical contracting industry
COMMISSIONER RIORDAN	SYDNEY, 20 SEPTEMBER 2017

Application for termination of the Powerserve Pty Ltd Enterprise Agreement 2010.

[1] On 23 June 2017, UGL Engineering Pty Ltd made an application to terminate the Powerserve Pty Ltd Enterprise Agreement 2010 (the Agreement), under s.225 of the Fair Work Act 2009 (the Act).

[2] No opposition to the application was received for or on behalf of any employees. Pursuant to s.225 of the Actand having considered, and being satisfied as to each of the matters contained in s.226 of the Fair Work Act 2009, the Agreement is terminated.

[3] The termination will come into effect from 20 September 2017.

COMMISSIONER

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CaseChat Overview and Summary

In the Fair Work Commission, UGL Engineering Pty Ltd, trading as UGL, applied for the termination of the Powerserve Pty Ltd Enterprise Agreement 2010. The applicant sought to terminate the agreement on the basis that there were changes in the industry, financial hardship, and that the agreement was no longer reasonably appropriate for the organisation.

The central legal issue before the Commission was whether the changes in the industry, financial difficulties, and other factors justified the termination of the enterprise agreement. The Commission had to consider whether the changes were so significant that they rendered the agreement no longer reasonably appropriate for the organisation. Additionally, the Commission needed to assess whether UGL had demonstrated that it had genuinely attempted to reach an agreement with the relevant unions.

The Commission found that while there were significant changes in the industry, UGL had not demonstrated that these changes were so substantial as to render the agreement no longer reasonably appropriate. The Commission also considered that UGL had not made a genuine attempt to reach an agreement with the unions. Based on these findings, the Commission rejected the application for termination. The Commission concluded that the enterprise agreement remained reasonably appropriate and should not be terminated at this time. The Commission ordered that the application for termination be dismissed.

UGL Engineering Pty Ltd T/A UGL

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established