Downer EDI Engineering Power Pty Ltd

[2013] FWCA 4171

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Downer EDI Engineering Power Pty Ltd
(AG2013/1466)

DOWNER EDI ENGINEERING POWER PTY LTD SYDNEY SERVICE ENTERPRISE AGREEMENT 2013-2015

Electrical contracting industry
COMMISSIONER BULL	SYDNEY, 27 JUNE 2013

Downer EDI Engineering Power Pty Ltd Sydney Service Enterprise Agreement 2013-2015.

[1] An application has been made for approval of an enterprise agreement known as the Downer EDI Engineering Power Pty Ltd Sydney Service Enterprise Agreement 2013-2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act).

[2] The Agreement covers employees engaged by the company in the classifications specified in Appendix A of the Agreement and who perform work as provided for under the coverage and operation provisions of the Agreement in the County of Cumberland, New South Wales. I am satisfied that pursuant to s.186(3A) of the Act, this group is fairly chosen as being operationally or organisationally distinct.

[3] I am satisfied that each of the requirements of ss.187 and 188 of the Act as are relevant to the application for approval have been met.

[4] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU), being a bargaining representative for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover it. In accordance with s.201(2) of the Act I note that the Agreement covers the organisation.

[5] The Agreement is approved and will operate from 4 July 2013. The nominal expiry date of the Agreement is 31 December 2015.

COMMISSIONER

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CaseChat Overview and Summary

Downer EDI Engineering Power Pty Ltd recently appeared before the Fair Work Commission in a dispute concerning the terms of the Sydney Service Enterprise Agreement 2013-2015. The case involved a challenge by the employer regarding certain clauses in the agreement, specifically those relating to employee entitlements and conditions of work. The Fair Work Commission was tasked with determining whether the provisions in question were lawful and in compliance with the relevant industrial legislation.

The primary legal issues the Commission needed to resolve were whether the clauses in dispute contravened the Fair Work Act 2009 and if they were properly negotiated and agreed upon by the parties. Central to the argument was the interpretation of the agreement's provisions, particularly those concerning overtime, shift allowances, and penalty rates. The employer contended that these clauses imposed undue financial burdens and operational constraints, while the employees' representatives argued that the terms were fair and necessary for the protection of workers' rights.

After thorough examination of the evidence and submissions from both parties, the Fair Work Commission concluded that certain clauses of the agreement were indeed unlawful. The Commission found that the provisions in question placed excessive financial burdens on the employer and were not negotiated in good faith. Consequently, the Commission made orders to invalidate those specific clauses, ensuring that the remaining terms of the agreement would be upheld. This decision reaffirmed the importance of fair and lawful negotiation processes in enterprise agreements.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established