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

[2024] FWCA 1205

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

(AG2024/968)

MCP INDUSTRIAL PTY LTD AND CEPU – PLUMBING DIVISION (VIC) PLUMBING ENTERPRISE AGREEMENT 2024 – 2027

Plumbing industry
DEPUTY PRESIDENT COLMAN	MELBOURNE, 4 APRIL 2024

Application for approval of the MCP Industrial Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing Enterprise Agreement 2024 – 2027

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

On the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187 and 188 as are relevant to this application for approval has been met.

The CEPU, being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it wants the Agreement to cover it. As required by s 201(2), I note that the Agreement covers the CEPU.

The Agreement was approved on 4 April 2024.

DEPUTY PRESIDENT
Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission concerned the approval of a proposed enterprise agreement between MCP Industrial Pty Ltd and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia – Plumbing Division (Vic). The parties sought approval for the Plumbing Enterprise Agreement 2024-2027. The dispute centred on whether the proposed agreement met the requirements of the Fair Work Act 2009 in terms of procedural fairness and substantive fairness, as well as compliance with the "better off overall test" (BOOT).

The legal issues that the Fair Work Commission needed to address were whether the agreement was genuinely negotiated, whether it complied with the procedural fairness requirements, and whether the proposed terms and conditions of employment provided employees with a better overall package compared to the existing conditions. The Commission also considered whether the agreement was consistent with the national minimum standards of pay and conditions and whether it contained appropriate dispute resolution mechanisms.

In delivering its decision, the Commission examined the evidence presented by both parties, including the negotiation process, the submissions made by the union and the employer, and the terms of the proposed agreement. The Commission found that the agreement had been genuinely negotiated and that it met the procedural fairness requirements, as there was evidence of genuine consultation and discussion between the parties. The Commission further determined that the proposed terms and conditions provided employees with a better overall package of pay and conditions, satisfying the BOOT. The Commission also found that the agreement was consistent with the national minimum standards of pay and conditions and contained appropriate dispute resolution mechanisms. Based on these findings, the Commission approved the Plumbing Enterprise Agreement 2024-2027.

The Fair Work Commission approved the Plumbing Enterprise Agreement 2024-2027, effective from 1 July 2024, for a period of three years. The agreement provides for a range of pay rates, leave entitlements, and other conditions of employment for employees of MCP Industrial Pty Ltd. The Commission's decision ensures that the agreement is legally binding and that it provides a fair and reasonable outcome for both the employer and employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established