DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia
(AG2021/5077)

DRAC MECHANICAL PTY LTD AND CEPU - PLUMBING DIVISION (VIC) PLUMBING ENTERPRISE AGREEMENT 2019 - 2023

Plumbing industry
DEPUTY PRESIDENT COLMAN	MELBOURNE, 17 MAY 2021

Application for approval of the Drac Mechanical Pty Ltd and CEPU - Plumbing Division (Vic) Plumbing Enterprise Agreement 2019 - 2023.

[1] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) has made an application for approval of an enterprise agreement known as the Drac Mechanical Pty Ltd and CEPU - Plumbing Division (Vic) Plumbing Enterprise Agreement 2019 - 2023 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The agreement is a single enterprise agreement.

[2] On the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187 and 188 as are relevant to this application for approval has been met. The application was not lodged within 14 days after the agreement was made. Pursuant to s 185(3)(b), I consider it fair in all the circumstances to extend the time for making the application to the date it was actually made.

[3] The CEPU, 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) and based on the declaration provided by the organisation, I note that the Agreement covers the organisation.

[4] The Agreement was approved on 17 May 2021 and, in accordance with s 54, will operate from 24 May 2021. The nominal expiry date of the Agreement is 31 October 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission was an application for the approval of an enterprise agreement between Drac Mechanical Pty Ltd and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia – Plumbing Division (Vic). The agreement in question was the Drac Mechanical Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing Enterprise Agreement 2019 – 2023. The union sought approval of the agreement, which the employer had executed but which was yet to be registered with the Fair Work Commission. The dispute centred on whether the agreement met the legal requirements for approval under the Fair Work Act 2009.

The legal issues before the Commission were whether the agreement complied with the procedural and substantive requirements for approval. Procedurally, the Commission needed to determine if the agreement was made in accordance with the Fair Work Act. This involved examining whether the agreement was genuinely negotiated between the parties and whether it complied with the procedural steps for enterprise agreements as stipulated in the Act. Substantively, the Commission had to assess if the agreement contained terms that were fair and reasonable in all respects, including whether it provided for the protection of employees' interests and did not undermine the safety nets provided by the National Employment Standards and modern awards.

The Fair Work Commission found that the agreement was genuinely negotiated and met the procedural requirements for approval. The Commission also found that the substantive terms of the agreement were fair and reasonable. It provided for the protection of employees' interests, including minimum wage rates, leave entitlements, and other conditions of employment. The Commission noted that the agreement did not undermine the safety nets provided by the National Employment Standards and modern awards. Therefore, the Commission approved the agreement, and it was registered with the Fair Work Commission.

The final order of the Fair Work Commission was that the Drac Mechanical Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing Enterprise Agreement 2019 – 2023 be approved and registered with the Fair Work Commission. The agreement would now be binding on the parties and their employees, providing a framework for their industrial relations for the period of the agreement.

Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established