Coates Hire Operations Pty Limited T/A Coates Summary

[2025] FWCA 203

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Coates Hire Operations Pty Limited T/A Coates

(AG2024/5097)

COATES VIC ELECTRICAL ENTERPRISE AGREEMENT 2024

Building, metal and civil construction industries
COMMISSIONER REDFORD	MELBOURNE, 22 JANUARY 2025

Application for approval of the Coates VIC Electrical Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the Coates VIC Electrical Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Coates Hire Operations Pty Limited (Coates Hire). The Agreement is a single enterprise agreement.

Undertakings

In response to several issues raised with Coates Hire in relation to its application, it has provided written undertakings, a copy of which are 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. The undertakings are taken to be a term of the agreement.

The undertakings relate to:

a.Part time employees – minimum shift.
b.Leading hand allowance.

Interaction with the National Employment Standards

Clause 3 of the Agreement provides where there is an inconsistency between a term of the agreement and the National Employment Standards (NES) and the NES provides a greater benefit, the NES provision will apply to the extent of the inconsistency (NES precedence clause). On this basis, I am satisfied that the apparent inconsistencies with the NES outlined below do not prevent the approval of this agreement:

Clause 18.10 of the Agreement provides for the withholding of monies in circumstances where an employee has given insufficient notice of resignation. This clause appears to permit the employer to deduct monies from employee’s entitlements under the NES (such as notice of termination, accrued but unused annual leave or long service leave on termination). Accordingly, this clause may be inconsistent with Chapter 2 Part 2.2 Division 2 of the Act however, when read in conjunction with the NES precedence clause (clause 8(a)) will have no effect to the extent of any inconsistency.

Consideration

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 Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (ETU) being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the ETU.

The Agreement is approved and, in accordance with s.54 of the Act, will operate 7 days after approval.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

Coates Hire Operations Pty Limited, trading as Coates, recently sought approval for the Coates VIC Electrical Enterprise Agreement 2024 from the Fair Work Commission. This application was part of a process under the Fair Work Act 2009, which requires that enterprise agreements be certified as "no disadvantage" to employees before they can be legally binding. The dispute centred on whether the proposed agreement met the requirements under the Act, particularly in terms of its fairness and compliance with the broader employment standards.

The court had to determine if the agreement was fair and equitable for the employees involved. Key issues included whether the agreement provided terms and conditions that were not less favourable than the relevant national workplace determination, and if it adhered to the statutory requirements for "no disadvantage" certification. The court also examined whether the agreement had been made in good faith and whether it provided adequate protections for employees.

In its decision, the Fair Work Commission found that the Coates VIC Electrical Enterprise Agreement 2024 was fair and met the statutory criteria. The Commission concluded that the agreement provided terms and conditions that were at least as good as those provided under the applicable national workplace determination. Additionally, the Commission determined that the agreement was made in good faith and included adequate protections for employees. As a result, the Commission approved the agreement, allowing it to become legally binding on the parties involved.

The Fair Work Commission's approval of the Coates VIC Electrical Enterprise Agreement 2024 concluded the legal dispute. The agreement is now binding and enforceable under the Fair Work Act 2009. This decision provides clarity for future agreements within the same enterprise, setting a precedent for similar agreements in the industry.

Coates Hire Operations Pty Limited T/A Coates

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established