Downer Utilities Australia Pty Ltd T/A Downer

Case [2024] FWCA 2162


[2024] FWCA 2162

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Downer Utilities Australia Pty Ltd T/A Downer

(AG2024/1744)

DOWNER UTILITIES AUSTRALIA PTY LTD & ETU POWERLINE ENTERPRISE AGREEMENT 2023-2026

Electrical contracting industry

DEPUTY PRESIDENT GRAYSON

SYDNEY, 12 JUNE 2024

Application for approval of the Downer Utilities Australia Pty Ltd &ETU Powerline Enterprise Agreement 2023-2026

Introduction

  1. Downer Utilities Australia Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Downer Utilities Australia Pty Ltd & ETU Powerline Enterprise Agreement 2023-2026 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Model Consultation Terms

  1. The Agreement does not contain all of the requisite consultation terms, as required by s.205(1) of the Act. Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Regulations is taken to be a term of the Agreement.

National Employment Standards (NES) precedence term

  1. Clause 27.15 of the Agreement appears to be silent as to the entitlement to compassionate leave in cases of stillbirth or miscarriage, as provided by s.104 of the Act.

  1. Clause 28.3(g) of the Agreement states that an employee who does not accept a suitable alternative position shall not be entitled to any payment associated with redundancy. However, this clause is silent as to the necessity of the making of an application to this end before the Commission under s.120 of the Act.

  1. Clause 29(a) of the Agreement appears to exclude apprentices from notice of termination provisions, which may be inconsistent with s.117 of the Act.

  1. Clause 29(k) of the Agreement states ‘if the employee fails to give notice the Employer has the right to withhold monies due to the employee to a maximum amount equal to the ordinary time rate of pay for the period of notice.’ The clause is silent as to the source of the monies to be deducted by the Employer. Accordingly, the effect of this clause may permit deductions from an employee’s entitlements under the NES in a manner not otherwise consistent with Part 2-2 of the Act.

  1. To the extent that these clauses may be inconsistent with the NES, I note that in accordance with the NES precedence term in Clause 6 of the Agreement, these clauses will be read and interpreted in conjunction with the NES.

Section 186, 187, and 188

  1. I am satisfied that each of the requirements of ss.186, 187, and 188 as are relevant to this application for approval have been met.

Section 183 Bargaining Representatives

  1. The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (ETU) being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it.

  1. In accordance with s.201(2), I note that the Agreement covers the ETU.

Approval

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 19 June 2024. The nominal expiry date of the Agreement is 31 August 2026.

DEPUTY PRESIDENT

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Details
AGLC
Downer Utilities Australia Pty Ltd T/A Downer [2024] FWCA 2162
Case
[2024] FWCA 2162
Decision Date

CaseChat Overview and Summary

Downer Utilities Australia Pty Ltd, trading as Downer, applied for the approval of the Downer Utilities Australia Pty Ltd & ETU Powerline Enterprise Agreement 2023-2026. The dispute arose from the negotiation and proposed terms of the enterprise agreement, which was to govern the employment conditions of the employees represented by the Electrical Trades Union (ETU). The case was heard in the Fair Work Commission.

The primary legal issue before the Commission was whether the proposed enterprise agreement met the necessary requirements under the Fair Work Act 2009. Specifically, the Commission had to determine if the agreement was in the best interests of the employees, whether it was free from any prohibited content, and if it adhered to the statutory minimum standards as outlined in the Act. Additionally, the Commission needed to consider any submissions made by interested parties, including the ETU and Downer.

The Commission examined the submissions and evidence presented by both parties. It found that the proposed agreement was beneficial to the employees, as it included fair remuneration, reasonable working conditions, and provisions for dispute resolution. The Commission was satisfied that the agreement did not contain any prohibited content and complied with the statutory minimum standards. Furthermore, the agreement was deemed to be in the best interests of the employees, taking into account their needs and the context of the industry. Consequently, the Commission approved the Downer Utilities Australia Pty Ltd & ETU Powerline Enterprise Agreement 2023-2026, subject to the terms and conditions specified in the decision.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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