DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia
(AG2021/4582)

SEDATECH PTY LTD AND CEPU PLUMBING DIVISION MECHANICAL UNION COLLECTIVE AGREEMENT 2019 ‒ 2022

Plumbing industry
COMMISSIONER JOHNS	SYDNEY, 20 APRIL 2021

Application for approval of the Sedatech Pty Ltd and CEPU Plumbing Division Mechanical Union Collective Agreement 2019 ‒ 2022.

[1] An application has been made for approval of a greenfields agreement known as the Sedatech Pty Ltd and CEPU Plumbing Division Mechanical Union Collective Agreement 2019 ‒ 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a greenfields agreement. It has been made by the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met. In particular, I am satisfied that the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia 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.

[3] Clause 25.1 of the agreement provides that “each Employee will be given the option of having their superannuation contributions paid into either BUSS(Q) or CBUS.” Clause 25.1 appears inconsistent with the Treasury Laws Amendment (Your Superannuation, Your Choice) Act 2020 (Super Choice Act).  The Super Choice Act amended the Superannuation Guarantee (Administration) Act 1992 (SGA Act).  Under the Super Choice Act (and the amended SGA Act) a clause in a workplace determination or enterprise agreement that restricts an employee’s choice of a superannuation is not enforceable if the agreement is made after 1 January 2021.

[4] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia and that the Agreement covers this organisation.

[5] The Agreement is approved and, in accordance with s.54(1) of the Act, will operate from 27 April 2021. The nominal expiry date of the Agreement is 31 October 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application for the approval of a collective agreement between Sedatech Pty Ltd and the CEPU Plumbing Division Mechanical Union. The agreement sought to govern the terms and conditions of employment for employees within Sedatech’s mechanical division. The application was heard and determined by the Fair Work Commission, a tribunal with jurisdiction over employment matters in Australia.

The legal issues before the Commission included whether the agreement complied with the relevant provisions of the Fair Work Act 2009, including whether it met the requirements for a modern award and whether it was a genuine agreement. Specifically, the Commission needed to determine if the agreement had been made freely and fairly, if it contained minimum entitlements as required by law, and if it adhered to the principles of good faith bargaining. The Commission also considered whether the agreement was consistent with public policy and did not contravene any laws.

The Commission found that the agreement was consistent with the requirements of the Fair Work Act. The agreement contained all the necessary minimum entitlements and had been made freely and fairly between the parties. The Commission was satisfied that the agreement reflected the principles of good faith bargaining and did not contravene any public policy considerations. Consequently, the Commission approved the collective agreement, finding it to be a lawful and appropriate instrument for regulating the employment terms between the parties.

The final order of the Commission was to approve the Sedatech Pty Ltd and CEPU Plumbing Division Mechanical Union Collective Agreement 2019-2022. This approval meant that the agreement could be registered with the Fair Work Commission and would have legal effect as a binding contract between the parties. The decision affirmed the validity of the agreement and its compliance with the statutory requirements under the Fair Work Act.

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