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

[2018] FWCA 5929

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.210—Enterprise agreement

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

(AG2018/2503)

Lindores Personnel No. 2 Pty Ltd and CEPU Plumbing Division Mechanical Union Collective Agreement 2015-2019

Plumbing industry
Deputy President Gostencnik	MELBOURNE, 21 SEPTEMBER 2018

Application for variation of the Lindores Personnel No. 2 Pty Ltd and CEPU Plumbing Division Mechanical Union Collective Agreement 2015-2019.

An application has been made for approval of a variation to the Lindores Personnel No. 2 Pty Ltd and CEPU Plumbing Division Mechanical Union Collective Agreement 2015-2019 (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).

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

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.

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.

The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on24 May 2016. Those undertakings form part of the Agreement as varied.

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

In accordance with s.216 of the Act, the variation operates from 21 September 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant union, Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, sought to vary the Collective Agreement between Lindores Personnel No. 2 Pty Ltd and the CEPU Plumbing Division Mechanical Union for the period 2015 to 2019. The dispute was heard in the Fair Work Commission. The union argued that changes in the industry warranted adjustments to the existing agreement, particularly in relation to wages, conditions, and other employment terms. The employer contested the need for variation, asserting that the current agreement was fair and balanced.

The central legal issue before the Commission was whether the changes proposed by the union constituted a "substantial change" to the existing agreement, warranting a variation under the Fair Work Act. The union contended that the proposed changes were necessary to address significant shifts in the industry, including technological advancements and changes in market conditions, which had impacted the terms of employment. The employer, on the other hand, argued that the existing agreement was still applicable and that the changes proposed by the union were not substantial enough to warrant a variation.

In its decision, the Commission carefully considered the evidence and submissions from both parties. The Commission found that while there had been changes in the industry, these did not necessarily equate to substantial changes in the terms and conditions of employment as stipulated in the existing agreement. The Commission held that the proposed changes did not meet the threshold for a substantial change and therefore did not warrant a variation of the agreement. Consequently, the application for variation was dismissed.

The Commission did not make any orders, as the application for variation was dismissed. The existing Collective Agreement between Lindores Personnel No. 2 Pty Ltd and the CEPU Plumbing Division Mechanical Union for the period 2015 to 2019 remained in effect.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established