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ARTICLE · 31 JANUARY 2019

Terminating an enterprise agreement – is the trickle about to stop?

Any employer seeking to terminate an agreement with its workforce must overcome these three substantial impediments.

AustraliaEmployment and HR

Wollongong Coal

Introduction

Since the Full Bench decisions in Aurizon 1, Griffin Coal 2 and Murdoch3, conventional wisdom was that in overturning Tahmoor Coal[4], the Federal Commission had opened the floodgates on a trend that would result in workers from industries across the country being deprived of the benefits of enterprise bargaining and being dumped back onto the to pay rates found in modern awards. SDP Hamberger's decision in NRE No 1 Colliery Workplace Agreement 20115 (Wollongong Coal) not to terminate the Agreement, has perhaps slowed the flood to a trickle.

A quick review

Each of these Full Bench decisions and Murdoch shared factual similarities that allowed the Commission to determine that any decision to keep these agreements alive was against the public interest. Firstly, each agreement had been the subject of intense good faith negotiation over several years between the parties culminating in the employer making an application to

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