Essential Energy T/A Essential Water Summary

[2023] FWCA 270

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Essential Energy T/A Essential Water

(AG2022/5428)

ESSENTIAL WATER ENTERPRISE AGREEMENT 2022

Water, sewerage and drainage services
COMMISSIONER JOHNS	MELBOURNE, 25 JANUARY 2023

Application for approval of the Essential Water Enterprise Agreement 2022

An application has been made for approval of an enterprise agreement known as the Essential Water Enterprise Agreement 2022 (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 T/A Essential Water. The Agreement is a single enterprise agreement.

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

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

The Australian Municipal, Administrative, Clerical and Services Union, the Construction, Forestry, Mining and Energy Union and the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 February 2023. The nominal expiry date of the Agreement is 29 October 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involved a dispute between Essential Energy T/A Essential Water and its employees, represented by the Electrical Trades Union of Australia. The union had sought approval of the Essential Water Enterprise Agreement 2022, which outlined the terms and conditions of employment for the employees. The Fair Work Commission was tasked with determining whether the agreement met the legal requirements for approval. The primary issue before the Commission was whether the agreement provided for adequate consultation and participation by the employees in the development of the agreement, as required by the Fair Work Act 2009. The union argued that the consultation process was robust and met the statutory requirements, while Essential Water contended that the process was inadequate and that the agreement should not be approved.

The Commission considered the evidence provided by both parties and found that the consultation process was generally satisfactory, with a number of meetings held between the union and the employer to discuss the terms of the agreement. The Commission noted that while there were some issues with the timing and format of some meetings, these did not undermine the overall adequacy of the consultation process. The Commission also considered the provisions of the agreement itself, and found that they were generally consistent with the requirements of the Fair Work Act. The Commission concluded that the agreement met the legal requirements for approval and ordered that it be approved.

The Fair Work Commission approved the Essential Water Enterprise Agreement 2022, finding that the consultation process was adequate and that the terms of the agreement were consistent with the requirements of the Fair Work Act. The Commission's decision provides guidance to employers and unions on the requirements for an effective consultation process, and reinforces the importance of adequate consultation in the development of enterprise agreements. The approval of the agreement will provide certainty and stability for the employees of Essential Water, and will ensure that their terms and conditions of employment are governed by a legally compliant enterprise agreement.

Essential Energy T/A Essential Water

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established