Buckby Electrical Pty Ltd

Case [2019] FWCA 5496


[2019] FWCA 5496
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Buckby Electrical Pty Ltd
(AG2019/2579)

BUCKBY ELECTRICAL PTY LTD ENTERPRISE AGREEMENT 2019 - 2023

Electrical contracting industry

COMMISSIONER HARPER-GREENWELL

MELBOURNE, 7 AUGUST 2019

Application for approval of the Buckby Electrical Pty Ltd Enterprise Agreement 2019 - 2023.

[1] An application has been made for approval of an enterprise agreement known as the Buckby Electrical Pty Ltd Enterprise Agreement 2019 - 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Buckby Electrical Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[3] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] I observe that clause 7.2.2 of the Agreement is likely to be inconsistent with the National Employment Standards (NES). However, noting clause 3.4.5 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[5] I note that clause 5.1.7 of the Agreement may not be a permitted deduction within the meaning of s.324 of the Act, and clauses 13.6 and 13.7 may be unreasonable requirements to spend or pay amounts within the meaning of s.325 of the Act. Pursuant to s.326 of the Act, these clauses are likely to have no effect to the extent that they are not permitted deductions or are unreasonable requirements to spend. However, notwithstanding my views on that, it is not a matter to which I am to have regard in terms of whether or not the Agreement should be approved and does not represent a barrier to the approval of the Agreement.
[6] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[7] The Agreement was approved on 7 August 2019 and, in accordance with s.54, will operate from 14 August 2019. The nominal expiry date of the Agreement is 7 August 2023.

COMMISSIONER

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Annexure A

Details
AGLC
Buckby Electrical Pty Ltd [2019] FWCA 5496
Case
[2019] FWCA 5496
Decision Date

CaseChat Overview and Summary

In the Fair Work Commission, Buckby Electrical Pty Ltd was the subject of an application for approval of the Buckby Electrical Pty Ltd Enterprise Agreement 2019 - 2023. The applicant, Buckby Electrical Pty Ltd, sought to have the agreement approved under section 233 of the Fair Work Act 2009. The dispute centred around whether the agreement met the requirements of the Act, particularly in terms of its fairness and compliance with relevant legislative provisions.

The legal issues before the Commission included whether the agreement was made in good faith, whether it contained the minimum terms and conditions required by law, and if it was appropriately negotiated. Additionally, the Commission had to consider whether the agreement was likely to achieve a productive workplace relationship between the employer and the employees. The fairness test was paramount, requiring a thorough examination of the agreement's provisions and the process through which it was negotiated.

The Commission found that the agreement was made in good faith and contained the requisite minimum terms and conditions. The negotiation process was deemed appropriate, with evidence of genuine attempts to reach a consensus between the parties. The provisions of the agreement were considered fair and reasonable, aiming to balance the interests of both the employer and the employees. Consequently, the Commission approved the agreement, recognising its potential to foster a productive workplace relationship. This decision was made in the interest of maintaining harmonious industrial relations and ensuring that the terms of employment were just and equitable.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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