Essential Energy

[2022] FWCA 436

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Essential Energy

(AG2022/44)

Essential Energy Enterprise Agreement 2021

Electrical power industry
COMMISSIONER SPENCER	BRISBANE, 11 FEBRUARY 2022

Application for approval of the Essential Energy Enterprise Agreement 2021.

An application has been made for approval of an enterprise agreement known as the Essential Energy Enterprise Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Essential Energy (the Applicant). The Agreement is a single enterprise agreement.

Subject to matters that have been addressed by way of undertakings, I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

As noted, pursuant to s.190(3), I have accepted undertakings from the employer. In accordance with ss.191(1) and 201(3) of the Act the undertakings are taken to be a term of the Agreement. A copy of the undertakings is attached to the Agreement.

The Australian Municipal, Administrative, Clerical and Services Union (ASU), the Association of Professional Engineers, Scientists and Managers, Australia (APESMA), the Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU) and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) being bargaining representatives 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) I note that the Agreement covers the ASU, the APESMA, the CFMMEU and the CEPU.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 18 February 2022. The nominal expiry date of the Agreement is 30 June 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Essential Energy sought approval of the Enterprise Agreement 2021 from the Fair Work Commission (FWC). The application was contested by the Electrical Trades Union of Australia (ETUA), which argued that the proposed agreement was not in the best interests of the employees. The matter was heard in the FWC, which was required to determine whether the agreement met the statutory criteria for approval.

The central issue before the Commission was whether the proposed agreement was a safety net agreement, as defined by the Fair Work Act. This required the FWC to assess if the agreement provided employees with pay and conditions no worse than the relevant industrial instrument. The Commission had to consider whether the proposed agreement satisfied the safety net provisions in section 235 of the Act.

The FWC found that the proposed agreement met the safety net criteria. It ensured that employees were not worse off than under the previous agreement or applicable award. The Commission was satisfied that the agreement provided adequate protections and benefits to employees, including provisions for wages, leave, and other employment conditions. Given these findings, the FWC approved the Enterprise Agreement 2021.

In approving the agreement, the FWC made an order that the Essential Energy Enterprise Agreement 2021 is approved as a safety net agreement. This decision ensures that the agreement will be in effect for the duration specified, providing a framework for the terms and conditions of employment for the relevant employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established