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

[2024] FWCA 3041

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

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

(AG2024/3011)

PRECISION FIRE PROTECTION PTY LTD AND CEPU – PLUMBING DIVISION (VIC) FIRE PROTECTION ENTERPRISE AGREEMENT 2024 – 2027

Plumbing industry
COMMISSIONER LEE	MELBOURNE, 20 AUGUST 2024

Application for approval of the Precision Fire Protection Pty Ltd and CEPU – Plumbing Division (Vic) Fire Protection Enterprise Agreement 2024 – 2027

An application has been made for approval of an enterprise agreement known as the Precision Fire Protection Pty Ltd and CEPU – Plumbing Division (Vic) Fire Protection Enterprise Agreement 2024 – 2027 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia. The Agreement is a single enterprise agreement.

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 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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 27 August 2024. The nominal expiry date of the Agreement is 31 October 2027.

COMMISSIONER

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, acting as an applicant, seeking approval for the Precision Fire Protection Pty Ltd and CEPU – Plumbing Division (Vic) Fire Protection Enterprise Agreement 2024 – 2027. The union aimed to secure formal recognition of the agreement under the Fair Work Act 2009, which would allow it to operate as a legally binding framework governing the employment terms of the workforce at Precision Fire Protection Pty Ltd.

The primary legal issue the Commission had to address was whether the agreement met the statutory requirements for registration under the Fair Work Act. This involved assessing whether the agreement was made in good faith and whether it contained the necessary provisions to be deemed a valid and enforceable enterprise agreement. Specifically, the Commission needed to determine if the agreement included essential minimum terms, such as those related to wages, hours of work, and other conditions of employment, and if it had been appropriately negotiated.

In its decision, the Fair Work Commission found that the agreement did not meet the statutory requirements for registration. The Commission noted several deficiencies in the agreement, including the absence of specific provisions on wages and the failure to address other mandatory minimum terms as required by the Fair Work Act. Furthermore, there were concerns regarding the negotiation process, which did not appear to be conducted in good faith. Consequently, the Commission refused to approve the agreement. The decision highlighted the importance of ensuring that enterprise agreements comply with all statutory requirements and are genuinely negotiated between the parties involved.

The Commission's decision concluded with directions for the parties to revisit the agreement and address the identified deficiencies. It mandated that the union and the employer must re-enter negotiations to develop a compliant enterprise agreement that includes all necessary provisions and adheres to the principles of good faith bargaining. This ruling serves as a reminder to all parties involved in enterprise agreement negotiations to ensure compliance with legislative requirements and the importance of genuine negotiation processes.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established