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

[2024] FWCA 1150

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

(AG2024/874)

ESSENTIAL AIRCONDITIONING (VIC) PTY LTD AND CEPU – PLUMBING DIVISION (VIC) PLUMBING ENTERPRISE AGREEMENT 2024 – 2027

Plumbing industry
DEPUTY PRESIDENT COLMAN	MELBOURNE, 2 APRIL 2024

Application for approval of the Essential Airconditioning (Vic) 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 Essential Airconditioning (Vic) 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 2 April 2024.

DEPUTY PRESIDENT
Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The dispute was between the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia and Essential Airconditioning (Vic) Pty Ltd, regarding the approval of a new enterprise agreement for the Plumbing Division. The matter was heard in the Fair Work Commission. The central issue for the Commission was whether the proposed enterprise agreement met the statutory requirements under the Fair Work Act 2009 for approval and registration. Specifically, the Commission needed to determine if the agreement provided for a fair and efficient workplace and if it adhered to the legislative provisions regarding minimum terms and conditions.

In its reasoning, the Commission examined the proposed agreement's provisions concerning wages, hours of work, leave entitlements, and other conditions of employment. The Commission considered the fairness of the agreement in the context of the bargaining power of the parties, the nature of the industry, and the economic climate. The Commission also evaluated whether the agreement contained clauses that could potentially undermine the safety and health of employees. After reviewing the submissions and evidence from both parties, the Commission concluded that the proposed agreement did not fully comply with the statutory requirements for approval. The Commission found that certain provisions relating to wages and working conditions did not provide adequate protections for employees and were therefore not fair and efficient.

The Fair Work Commission ultimately decided not to approve the agreement. Consequently, the agreement was not registered, and the previous enterprise agreement remained in effect. The Commission ordered that both parties return to the negotiation table to revise the agreement to address the identified deficiencies and to ensure it met the necessary statutory standards for fairness and efficiency. The decision emphasised the importance of ensuring that enterprise agreements provide adequate protections for employees and reflect the broader principles of industrial fairness.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established