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

[2024] FWCA 2753

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

(AG2024/2674)

LAGWELL INSULATION PTY LTD AND CEPU – PLUMBING DIVISION (VIC) PLUMBING/INSULATION ENTERPRISE AGREEMENT 2024 – 2027

Plumbing industry
COMMISSIONER JOHNS	MELBOURNE, 26 JULY 2024

Application for approval of the Lagwell Insulation Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing/Insulation Enterprise Agreement 2024 – 2027

An application has been made for approval of an enterprise agreement known as the Lagwell Insulation Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing/Insulation 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 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 2 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 on behalf of its members, and Lagwell Insulation Pty Ltd, a company within the plumbing and insulation industry. The union sought approval of the Lagwell Insulation Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing/Insulation Enterprise Agreement 2024 – 2027, which outlined the terms and conditions of employment for employees of Lagwell Insulation Pty Ltd. The union argued that the agreement should be approved as it provided fair and reasonable terms for the employees, while the company raised concerns about certain provisions impacting its operational flexibility.

The primary legal issues for the Commission to determine were whether the enterprise agreement met the statutory criteria for approval, including whether it provided for the modern award's minimum terms and conditions, and whether it was free from any provisions that would undermine the operation of the modern award. The Commission had to assess the balance between the interests of the employees, as represented by the union, and the operational needs of the employer, ensuring that the agreement did not contain any unfair or unreasonable provisions.

In delivering its decision, the Commission examined the terms of the enterprise agreement in detail, considering whether it complied with the requirements set out in the Fair Work Act 2009. The Commission found that the agreement did provide for the minimum terms and conditions of the relevant modern award and did not contain any provisions that would undermine the operation of the award. The Commission also noted that the agreement provided for a fair and reasonable set of terms for the employees, balancing their interests with the operational needs of the employer. Based on this analysis, the Commission approved the enterprise agreement, subject to certain minor modifications to ensure full compliance with the statutory requirements.

The Fair Work Commission approved the Lagwell Insulation Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing/Insulation Enterprise Agreement 2024 – 2027, subject to certain modifications to ensure full compliance with the Fair Work Act 2009. These modifications included adjustments to specific clauses to ensure that the agreement met all statutory criteria for approval. The Commission's decision was based on its finding that the enterprise agreement provided for the minimum terms and conditions of the relevant modern award and contained fair and reasonable terms for the employees, while also taking into account the operational needs of the employer. The approved enterprise agreement will now govern the terms and conditions of employment for employees of Lagwell Insulation Pty Ltd for the period of 2024 to 2027.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established