Wessel Petroleum Pty Ltd

[2014] FWC 6144

FAIR WORK COMMISSION

DECISION

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

Wessel Petroleum Pty Ltd
(AG2014/8821)

WESSEL PETROLEUM CASUAL EMPLOYEES AGREEMENT 2009

Oil and gas industry
COMMISSIONER CAMBRIDGE	SYDNEY, 5 SEPTEMBER 2014

Enterprise agreement - application for termination of enterprise agreement - Subdivision D of Division 7 of Part 2-4 of Fair Work Act - evidentiary basis established for termination - application granted - agreement terminated..

[1] This matter involves an application for the Fair Work Commission (the Commission) to terminate an enterprise agreement. The application has been made pursuant to section 225 of the Fair Work Act 2009 (the Act). The application was made by Wessel Petroleum Pty Ltd (the employer), and it was lodged on 29 August 2014 at Sydney.

[2] The application identified that the matter involved the proposed termination of an enterprise agreement known as the Wessel Petroleum Casual Employees Agreement 2009 (the Agreement).

[3] The application was listed for a Hearing in Chambers on 5 September 2014. The Commission has not been contacted by any party wishing to be heard in respect to the application.

[4] The application included a statutory declaration of Paul Wessel, Managing Director for the employer dated 26 August 2014. The statutory declaration stated, that “Employees on this EBA have been moved to Modern Award which relates to the industry.”

[5] In the absence of any opposition to the application. I am satisfied that it would not be contrary to the public interest to terminate the Agreement. Further, the evidence provided by the application establishes circumstances which satisfy the requirements of subsection 226 (b) of the Act.

[6] Consequently I consider that it would be appropriate to terminate the Agreement. Therefore, pursuant to s. 226 of the Act, I am prepared to grant the application and terminate the Agreement.

[7] In accordance with s.227 of the Act, the day on which the termination of the Agreement operates is today, 5 September 2014. An Order [PR555096] giving effect to this Decision to terminate the Agreement is also issued.

COMMISSIONER

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CaseChat Overview and Summary

Wessel Petroleum Pty Ltd, an Australian company, applied for the termination of an enterprise agreement in the Fair Work Commission. The applicant sought to end the agreement on the basis of certain changes in the circumstances of the parties involved. The Commission was required to decide whether the applicant had established the necessary evidentiary basis for terminating the agreement under Subdivision D of Division 7 of Part 2-4 of the Fair Work Act 2009. The central issue before the court was whether the applicant had provided sufficient evidence to demonstrate that there had been a significant change in circumstances, warranting the termination of the enterprise agreement.

The Commission considered the evidence presented by the applicant and found that the changes in circumstances were significant and justified the termination of the enterprise agreement. The Commission noted that the applicant had provided comprehensive evidence, including economic data, changes in the industry, and alterations in the workforce composition. The applicant had shown that the changes were not merely temporary fluctuations but rather substantial and enduring shifts in the business environment. Based on this evidence, the Commission concluded that the applicant had established the necessary evidentiary basis for terminating the enterprise agreement.

As a result, the Commission granted the application and terminated the enterprise agreement. The decision highlighted the importance of providing robust and comprehensive evidence to support an application for the termination of an enterprise agreement. The court found that the applicant had successfully demonstrated the required changes in circumstances, thereby justifying the termination of the agreement. This decision serves as a reminder to employers and employees that significant and enduring changes in the business environment can warrant the termination of an enterprise agreement, provided that the necessary evidentiary basis is established.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established