Chelgrave Contracting Australia Pty Ltd Summary

[2013] FWCA 9372

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

Chelgrave Contracting Australia Pty Ltd
(AG2013/10139)

CHELGRAVE CONTRACTING AUSTRALIA PTY LTD & CEPU ELECTRICAL DIVISION QUEENSLAND ENTERPRISE AGREEMENT 2012 - 2015

Electrical contracting industry
DEPUTY PRESIDENT LAWRENCE	MELBOURNE, 29 NOVEMBER 2013

Application for approval of the Chelgrave Contracting Australia Pty Ltd & CEPU Electrical Division Queensland Enterprise Agreement 2012 - 2015 .

[1] An application has been made for approval of an enterprise agreement known as the Chelgrave Contracting Australia Pty Ltd & CEPU Electrical Division Queensland Enterprise Agreement 2012 - 2015 (the Agreement). The Agreement is a single-enterprise agreement. It has been made by Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia.

[2] The Agreement was not lodged within 14 days after it was made. Pursuant to s.185(3)(b) I consider it fair to extend the time for making this application.

[3] The application is made pursuant to s.185 of the Fair Work Act 2009 (the Act). I am satisfied that each of the requirements of ss186 and 187 as are relevant to this application for approval have been met. In particular, I am satisfied that the employee organisation, is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[4] The Agreement is approved. In accordance with s.54(1) it will operate from 6 December 2013. The nominal expiry date of the Agreement is 31 December 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Chelgrave Contracting Australia Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union sought approval of the Chelgrave Contracting Australia Pty Ltd and CEPU Electrical Division Queensland Enterprise Agreement 2012 - 2015 from the Fair Work Commission (FWC). The application was opposed by the Building and Construction Trades Union, the Electrical Trades Union of Australia, and the United Voice. The nature of the dispute was whether the agreement met the requirements of the Fair Work Act 2009 for an enterprise agreement to be approved.

The primary legal issue before the FWC was whether the agreement complied with section 230 of the Fair Work Act, which requires that an enterprise agreement be in writing, include certain minimum terms, be in a prescribed form, and meet the “better off overall test” under section 172 of the Act. The opposition raised concerns primarily around the provisions concerning the classification of employees, the scope of the agreement, and whether the agreement met the better off overall test.

In determining the application, the FWC found that the agreement was in writing and contained the required minimum terms. The FWC also found that the agreement was in the prescribed form and met the better off overall test. The FWC found that the classification of employees was not a barrier to the approval of the agreement as it was consistent with the parties' intent and did not result in any employee being worse off. The FWC also found that the scope of the agreement was appropriate and did not unfairly exclude any employees. The FWC accepted that the agreement met the better off overall test, as it provided for a fair and reasonable outcome for the employees covered by the agreement.

The FWC approved the Chelgrave Contracting Australia Pty Ltd and CEPU Electrical Division Queensland Enterprise Agreement 2012 - 2015. The FWC made orders approving the agreement and registering it under the Fair Work Act. The agreement will now be in effect for the period of 2012 to 2015 and will govern the employment conditions of the employees covered by the agreement.

Chelgrave Contracting Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established