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

[2024] FWCA 2682

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

(AG2024/2594)

R & D PLUMBING PTY LTD AND CEPU – PLUMBING DIVISION (VIC) PLUMBING ENTERPRISE AGREEMENT 2024 – 2027

Plumbing industry
COMMISSIONER LEE	MELBOURNE, 19 JULY 2024

Application for approval of the R & D Plumbing Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing Enterprise Agreement 2024 – 2027

An application has been made for approval of an enterprise agreement known as the R & D Plumbing Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing 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 26 July 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

In the recent matter of Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, the union sought approval for the R & D Plumbing Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing Enterprise Agreement 2024 – 2027. The application was brought before the Fair Work Commission, which is tasked with overseeing the approval and enforcement of enterprise agreements under the Fair Work Act 2009. The union argued that the proposed agreement met the necessary criteria for approval and that it represented the fair and equitable terms for the employees involved.

The legal issues before the Commission centred on whether the agreement fulfilled the procedural and substantive requirements set out in the Fair Work Act. Procedurally, the union had to demonstrate that the agreement was genuinely negotiated and that proper consultation had occurred. Substantively, the agreement had to be assessed to ensure that it provided fair and reasonable terms for employees, without causing detriment to them or undermining the safety net provided by the National Employment Standards. Additionally, the Commission needed to consider whether the agreement met the "better off overall test", ensuring that the employees were not worse off financially under the new agreement.

In delivering its decision, the Commission carefully examined the evidence provided by the union and the employer. The Commission found that the negotiation process was conducted in good faith and that the agreement had been properly consulted with the relevant employees. The terms of the agreement were reviewed to ensure they were fair and reasonable, and the Commission concluded that the agreement provided for better terms and conditions for the employees than those available under the applicable award. Furthermore, the Commission was satisfied that the employees would be better off overall under the new agreement. Given these findings, the Commission approved the enterprise agreement, recognising it as a fair and equitable arrangement for the employees involved.

Consequently, the Fair Work Commission approved the R & D Plumbing Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing Enterprise Agreement 2024 – 2027, recognising it as a fair and equitable arrangement for the employees involved. This decision underscores the importance of thorough negotiation, proper consultation, and the adherence to both procedural and substantive requirements when drafting enterprise agreements. The approval of this agreement provides a clear example of how the Fair Work Commission ensures that employees are protected under the new terms while also allowing for flexibility and improvement in workplace conditions.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established