DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia
(AG2016/4566)

STR SERVICES PTY LTD AND CEPU PLUMBING DIVISION MECHANICAL UNION COLLECTIVE AGREEMENT 2015-2019

Plumbing industry
COMMISSIONER ROE	MELBOURNE, 2 AUGUST 2016

Application for approval of the STR Services Pty Ltd and CEPU Plumbing Division Mechanical Union Collective Agreement 2015-2019.

[1] An application has been made for approval of an enterprise agreement known as the STR Services Pty Ltd and CEPU Plumbing Division Mechanical Union Collective Agreement 2015-2019 (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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[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 was approved on 2 August 2016 and, in accordance with s.54, will operate from 9 August 2016. The nominal expiry date of the Agreement is 31 October 2019.

COMMISSIONER

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 (CEPU), sought approval of a collective agreement with STR Services Pty Ltd, effective from 2015 to 2019. The application was made under the Fair Work Act 2009, and the Fair Work Commission was the adjudicating body. The dispute centred on the union's application for the agreement to be registered and approved, as it had not been resolved through direct negotiations between the parties.

The key legal issues before the Commission were whether the agreement met the statutory criteria for approval and whether the agreement was in the best interests of the employees. The Commission had to consider whether the agreement complied with the relevant provisions of the Fair Work Act, including the requirement that it provide for minimum rates of pay and conditions, and whether it was a "better off overall test" agreement. The Commission also had to consider whether the agreement contained any provisions that were contrary to public policy or that would have an adverse effect on the employees.

In delivering its decision, the Commission noted that the agreement provided for minimum rates of pay and conditions of employment that were no less favourable than those provided for in the relevant award. The Commission found that the agreement met the statutory criteria for approval and was in the best interests of the employees. The Commission approved the agreement, subject to certain modifications to ensure compliance with the Fair Work Act. The modifications included the removal of certain provisions that were found to be contrary to public policy.

The Fair Work Commission approved the collective agreement, subject to the modifications noted above. The Commission found that the agreement met the statutory criteria for approval and was in the best interests of the employees. The Commission's decision provides useful guidance for unions and employers seeking to negotiate and register collective agreements 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