Application for termination of the AusNet Services (Gas) Agreement 2017 after the nominal date

[1] AusNet Gas Services Pty Ltd Trading as AusNet Services (AusNet Gas) (the Applicant) has applied, pursuant to s.225 of the Fair Work Act 2009 (the Act) to terminate the AusNet Services (Gas) Agreement 2017[1] (the Agreement) after its nominal expiry date.

[2] The Australian Workers' Union (AWU) were served a copy of the Application on 28 March 2025.

[3] Section 225 of the Fair Work Act provides that an employer covered by an enterprise agreement may apply for the Fair Work Commission (the Commission) to terminate that agreement after its nominal expiry date. The Agreement is a single enterprise agreement. The Applicant is an employer covered by the Agreement. The Agreement has passed its nominal expiry date of 1 September 2020.

[4] Section 226 of the Act sets out when the Commission must terminate an expired enterprise agreement where an application to terminate an agreement is made. I am required to have regard to the relevant mandatory considerations as set out in s.226 of the Act.

[5] The material before the Commission includes the originating application and accompanying statutory declaration filed by AusNet Gas in support of the application. Ms Brhi Taylor, Head of Workplace Relations and Advisory at AusNet Gas filed further submissions in response to requests by me for further particulars.

[6] The Agreement at Clause 2, Application and Parties Bound provides that the Agreement applies to employees of AusNet Services Networks (Gas) Pty Ltd, the Australian Workers' Union and all employees of the Applicant that fall within the classifications descriptors set out in Schedule 2.

[7] On 7 April 2025, I sought the views of the AWU as an employee organisation covered by the Agreement as to whether they objected to the Application and the likely effect that the termination of the Agreement will have on them.

[8] On 14 April, AusNet Gas filed and served on the AWU further submissions in support of its Application.

[9] On 17 April 2024, the AWU corresponded with my chambers stating that they did not wish to make any "comments" in relation to the Application.

[10] On 28 April 2025, further correspondence was sent to the parties noting that in the absence of any further submissions or objections I intended on determining the matter on the materials that were currently before me. The parties were directed to contact my Chambers by 1 May 2025 if they sought to be heard. No further correspondence was received by my Chambers. The parties were subsequently the parties were advised that as the AWU had not raised any objections I had formed the view that it does not oppose the Application. I advised the parties that I would proceed to determine the Application on the materials before me.

[11] Ms Taylor submits that AusNet Services has four employing entities that employ 1543 employees in total. There are currently 12 employees employed by AusNet Gas in professional engineering, management and executive roles. The roles of those 12 employees are not covered by the classification descriptors set out in Schedule 2 of the Agreement.

[12] On the date the Agreement was made there were 66 employees covered by the Agreement. In her declaration, Ms Taylor states that there are no longer any employees engaged by AusNet Gas that are covered by the Agreement. AusNet Services has outsourced the roles previously covered by the Agreement to third party service providers. Furthermore, AusNet's Gas Services Contract was outsourced to a third-party service provider in or around September 2012. Ms Taylor submits AusNet Gas has no current plans to insource the type of work that is covered by the Agreement.

[13] Based on the information in Ms Taylors declaration and submissions, I am satisfied pursuant to s.226(1)(b) that the Agreement does not and is not likely to cover any employees at AusNet Gas.

[14] The AWU was provided with an opportunity to make submissions or raise any objections it may have to the application. I have considered its correspondence in reply.

[15] I am satisfied having regard to s.266(1A) of the Act, that it is appropriate in all circumstances to terminate the Agreement.

[16] Having made the above findings, the Act requires that I terminate the Agreement.[2] In accordance with s.227 of the Act, the termination will take effect from today, 8 May 2025.

[1] [2018] FWCA 2019, AE426898.

[2] Fair Work Act 2009 (Cth), s.226.

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