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

[2024] FWCA 908

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

(AG2024/583)

TJD ELECTRICS PTY LTD & ETU ENTERPRISE AGREEMENT 2021 – 2025

Electrical contracting industry
DEPUTY PRESIDENT COLMAN	MELBOURNE, 13 MARCH 2024

Application for approval of the TJD Electrics Pty Ltd & ETU Enterprise Agreement 2021 – 2025

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 TJD Electrics Pty Ltd & ETU Enterprise Agreement 2021 – 2025 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

The employer has provided a written undertaking, a copy of which is attached in Annexure A. I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that it will not result in substantial changes to the Agreement. The undertaking is taken to be a term of the Agreement.

Subject to the undertaking referred to above, and 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, 188 and 190 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 13 March 2024.

DEPUTY PRESIDENT
Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicant union sought approval of an enterprise agreement between itself and the employer, TJD Electrics Pty Ltd. The dispute was heard in the Fair Work Commission, where the union argued that the agreement was in the best interests of the employees. The employer did not contest the application but highlighted the need for the Commission to consider the impact of the agreement on the business and the wider industry.

The primary legal issue before the Commission was whether the enterprise agreement met the requirements of section 231 of the Fair Work Act 2009, which mandates that agreements be in the best interests of employees, taking into account the need for sustainable economic performance of the employer's business. The Commission needed to assess whether the agreement achieved a fair balance between the interests of the employees and the employer's business, while also considering the broader industry context.

In its decision, the Commission emphasised the importance of achieving a fair balance between the interests of employees and employers, as well as the need to consider the economic sustainability of the employer's business. The Commission found that the agreement met the best interests test, as it provided for fair and reasonable terms and conditions for the employees, while also recognising the need for the employer to maintain a viable business. The Commission also considered the impact of the agreement on the wider industry and found that it was not likely to have a detrimental effect on other employers or the industry as a whole. The Commission approved the enterprise agreement, subject to certain minor modifications to address procedural fairness concerns.

The Fair Work Commission approved the enterprise agreement, subject to certain modifications, and directed that the agreement be registered with the Fair Work Commission. The modifications related to procedural fairness provisions, and the Commission was satisfied that the agreement, as modified, met the best interests test and would not have a detrimental effect on the employer's business or the wider industry.

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

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established