It is not contrary to the public interest to do so; The contract should be terminated taking into account the views of individuals (employers, workers and trade union organisations) and the likely effects of redundancy on them. Enterprise agreements have a nomine, but when the agreement expires, the contract is maintained until the termination or replacement. There are steps a university wants to take to maintain the ability to successfully apply for the termination of its enterprise contract. We will discuss this at our next forum. In Griffin Coal, Griffin successfully argued that the terms of the enterprise agreement were so painful that the company would run into the ground if there was no change. Although a reduction in wages and conditions was not what the workers wanted, the Commission accepted the argument that the loss of a large company, employer and taxpayer was contrary to the public interest. Griffin terminated the agreement, forcing his staff to re-enter the industry with the 2010 Black Coal Award, all of which has the potential to reduce their employees` salaries by up to 43%. Unsurprisingly, the unions were outraged and accused the Commission of disrupting the status quo in negotiations between employers as employees. 2. The downward trend in Murdoch University`s financial and operational activities has been demonstrated. One of the topics discussed by the university was that the termination of the enterprise agreement would remove the restrictions and allow the university to be more agile in a difficult market.
The university identified specific provisions of the agreement that it considered problematic and provided evidence as to why they were problematic. For example, the university considered the fault and unsatisfactory benefits provisions as priority areas of evolution, in particular because of the normative and multi-step procedure that was heavily involved in determining a result under these provisions. The decision means that negotiations on a new enterprise agreement can continue and, if a new enterprise agreement is not reached within the next six months, if Murdoch does not decide to expand the business on certain terms, the only industrial instruments applicable to Murdoch University will be the Academic Staff Modern award and the General Staff Modern Award. These premiums contain minimalist terms of sale and rates of pay significantly lower than enterprise agreement rates. Whether Murdoch would actually apply the rate increases and reduce real wage rates is speculative, but unlikely. There are a number of outdated examples where agreements have been denounced when they are true relics of a previous labour context. The most obvious cases occurred in which no workers remained under the agreement. There are still regularly uncontested cases of this type, heard by the FWC. But what is more interesting is that a request for cessation is sought as a solution to problematic negotiations.
Under the Fair Work Act, an employer has the right to apply for termination of an enterprise contract that has passed its nominal expiry date. The Fair Labour Commission must terminate the contract if it is satisfied that it is not in the public interest. The public interest in this context is not in the interest of the university or the workers. Thus, while the opinions of the employer and employees must be taken into account in the exercise of the FWC`s discretion, their opinions are secondary. It is interesting to note that in this case, the employer had accepted a clause in the enterprise agreement that, if the employer wished to terminate the agreement, it would maintain the essential conditions established until a replacement agreement was replaced.