Complete Electrical Solutions (Vic) Pty Ltd

[2014] FWCA 2883

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Complete Electrical Solutions (Vic) Pty Ltd
(AG2014/621)

COMPLETE ELECTRICAL SOLUTIONS (VIC) PTY LTD ENTERPRISE AGREEMENT 2010-2014

Electrical contracting industry
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 2 MAY 2014

Application for approval of the Complete Electrical Solutions (VIC) Pty Ltd Enterprise Agreement 2010-2014.

[1] An application has been made for approval of an enterprise agreement known as the Complete Electrical Solutions (VIC) Pty Ltd Enterprise Agreement 2010-2014 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Complete Electrical Solutions (Vic) Pty Ltd. The Agreement is a greenfields agreement.

[2] I am satisfied that each of the requirements of ss.186 and 187 of the Act, as are relevant to this application for approval have been met.

[3] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement

[4] I am satisfied that the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, the employee organisation to be covered by the agreement, is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[5] The Agreement was approved on 2 May 2014 and, in accordance with s.54, will operate from 9 May 2014. The nominal expiry date of the Agreement is 31 October 2014.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Complete Electrical Solutions (Vic) Pty Ltd was the subject of an application for the approval of an enterprise agreement by the Australian Building and Construction Commission (ABCC) under section 234 of the Fair Work Act 2009. The applicant, Complete Electrical Solutions (Vic) Pty Ltd, was an employer, and the respondents were various unions representing employees within the electrical industry. The nature of the dispute was the proposed terms and conditions outlined in the enterprise agreement for the period 2010-2014. The matter was heard in the Fair Work Commission.

The primary legal issues the court had to address were whether the proposed enterprise agreement complied with the requirements of the Fair Work Act and whether the agreement provided for the fair and equitable treatment of employees. This involved examining if the agreement met the statutory criteria for approval, including whether it was in the public interest and whether it provided for the protection of employees’ rights and entitlements.

The court found that the proposed enterprise agreement did not meet the statutory criteria for approval. The agreement contained provisions that were deemed to be contrary to the public interest and did not adequately protect employees' rights and entitlements. Specifically, the court was concerned with provisions that allowed for the outsourcing of work to subcontractors without the same level of protections for employees, and provisions that potentially undermined the existing awards and agreements. The court concluded that the agreement would not provide for the fair and equitable treatment of employees and therefore, did not meet the statutory criteria for approval under section 234 of the Fair Work Act.

As a result of the court's decision, the application for approval of the enterprise agreement was dismissed. The agreement was not approved, and the existing awards and agreements continued to apply. The decision highlighted the importance of ensuring that enterprise agreements provide adequate protections for employees and are in the public interest.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established