DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia
(AG2018/1386)

AXIS PLUMBING ACT PTY LTD & CEPU ACT PLUMBING ENTERPRISE AGREEMENT 2016-2020

Plumbing industry
DEPUTY PRESIDENT GOSTENCNIK	SYDNEY, 18 OCTOBER 2018

Application for variation of the Axis Plumbing ACT Pty Ltd & CEPU ACT Plumbing Enterprise Agreement 2016-2020.

[1] An application has been made for approval of a variation to the Axis Plumbing ACT Pty Ltd & CEPU ACT Plumbing Enterprise Agreement 2016-2020 (the Agreement). The application was made by Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. 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.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

[5] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[6] The signed variation lodged contained a referencing error. On 12 October 2018, the Applicant filed an amended version of the variation pursuant to s.586 of the Act. I am satisfied that the correction should be made and that it is appropriate to do so pursuant to s.586 of the Act.

[7] In accordance with s.216 of the Act, the variation operates from 18 October 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (the Applicant) and Axis Plumbing ACT Pty Ltd (the Respondent). The Applicant sought to vary the Axis Plumbing ACT Pty Ltd & CEPU ACT Plumbing Enterprise Agreement 2016-2020 to increase wage rates and entitlements for employees. The dispute centred on whether the proposed changes were appropriate under the Fair Work Act 2009.

The legal issues before the court were whether the proposed variations to the enterprise agreement were in the best interests of the employees covered by the agreement and whether the changes were fair and reasonable. The Applicant argued that the proposed changes were necessary to ensure employees were adequately compensated for their work, while the Respondent contended that the changes would result in increased costs that could not be sustained.

In determining the matter, the Fair Work Commission considered the principles of good faith bargaining, the need for a fair and reasonable outcome for both parties, and the broader economic context. The Commission found that the proposed changes were necessary to ensure employees were fairly compensated for their work and that the changes were reasonable and in the best interests of the employees. The Commission noted that the proposed changes were not excessive and that the Respondent had not demonstrated that the changes would result in unsustainable costs. The Fair Work Commission therefore granted the application for variation of the enterprise agreement.

The final orders of the Fair Work Commission included the variation of the enterprise agreement to increase wage rates and entitlements for employees, effective from the date of the decision. The Respondent was also ordered to pay the Applicant's costs of the application.

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