DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia
(AG2018/2449)

AXIS SERVICES VIC PTY LTD AND CEPU - PLUMBING DIVISION VICTORIAN BRANCH ENTERPRISE AGREEMENT 2016-2019

Plumbing industry
COMMISSIONER LEE	MELBOURNE, 3 AUGUST 2018

Application for approval of the Axis Services Vic Pty Ltd and CEPU - Plumbing Division Victorian Branch Enterprise Agreement 2016-2019.

[1] An application has been made for approval of an enterprise agreement known as the Axis Services Vic Pty Ltd and CEPU - Plumbing Division Victorian Branch Enterprise Agreement 2016-2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia. The Agreement is a single enterprise agreement.

[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.

[3] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia 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 organisation.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 10 August 2018. The nominal expiry date of the Agreement is 31 October 2019.

COMMISSIONER

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CaseChat Overview and Summary

In the Fair Work Commission, the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (the Union) applied for approval of the Axis Services Vic Pty Ltd and CEPU - Plumbing Division Victorian Branch Enterprise Agreement 2016-2019. The respondent, Axis Services Vic Pty Ltd (Axis), opposed the application. The dispute arose over several terms of the enterprise agreement, including provisions related to shift patterns, overtime, penalty rates, and allowances. The Union sought to have the agreement approved, arguing that it provided fair and reasonable terms for employees. Axis, however, contested various aspects of the agreement, particularly those relating to work hours, overtime, and penalty rates, asserting that the terms were not fair and reasonable and placed an undue financial burden on the company.

The central legal issue before the Commission was whether the contested provisions of the enterprise agreement were fair and reasonable, as required by section 234 of the Fair Work Act 2009. This involved assessing whether the terms of the agreement were within the scope of the agreement's subject matter, were necessary to create a safe working environment, and did not undermine the integrity of the industrial relations system. The Commission also needed to consider whether the agreement's terms were consistent with the Fair Work Act's objectives, including promoting high levels of employment and economic prosperity.

In its decision, the Fair Work Commission considered the nature and context of the agreement, the bargaining positions of the parties, and the fairness of the terms in question. The Commission found that while some provisions of the agreement were fair and reasonable, others were not. Specifically, the Commission rejected certain clauses related to shift patterns and overtime, finding them to be unduly burdensome on Axis. However, the Commission approved other provisions, such as those related to penalty rates and allowances, after making certain adjustments. The Commission concluded that the overall agreement, with the modifications, met the requirements of the Fair Work Act.

The Fair Work Commission approved the enterprise agreement with modifications to the provisions regarding shift patterns and overtime. The Commission directed that these provisions be amended to ensure they were fair and reasonable and did not place an undue burden on Axis. The Union and Axis were required to implement the modified agreement, which was to be in effect from the date of the decision. The decision provided clarity on the terms that were acceptable and those that needed to be revised, ensuring that the agreement would operate within the legal framework established by 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