Fredon (Act) Pty Ltd

[2023] FWCA 1491

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Fredon (Act) Pty Ltd

(AG2023/1235)

FREDON ACT PTY LTD CONSTRUCTION ENTERPRISE AGREEMENT 2022

Electrical contracting industry
DEPUTY PRESIDENT WRIGHT	SYDNEY, 25 MAY 2023

Application for approval of Fredon ACT Pty Ltd Construction Enterprise Agreement 2022

Introduction

Fredon (Act) Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Fredon ACT Pty Ltd Construction Enterprise Agreement 2022 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Model Consultation Terms

The Agreement does not contain the requisite consultation terms in relation to a change to the employees' regular roster or ordinary hours of work, as required by s.205(1A) 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.

Section 190 Undertakings

The employer 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.

Section 186, 187, 188 and 190

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.

Section 183 Bargaining Representatives

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.

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

Approval

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 June 2023. The nominal expiry date of the Agreement is 1 December 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Fredon (Act) Pty Ltd has applied for approval of the Fredon ACT Pty Ltd Construction Enterprise Agreement 2022 under the Fair Work Act 2009. The Fair Work Commission (FWC) was required to consider the application, and whether the agreement met the requirements of the Act, including the public interest test. The applicant argued that the agreement was in the public interest as it would provide stability and certainty to employees and employers in the construction industry.

The legal issues before the FWC were whether the agreement was a genuinely negotiated agreement, whether it met the requirements of the public interest test, and whether it was in the best interests of the employees. The FWC considered whether the agreement provided for fair and reasonable terms and conditions, and whether it promoted economic and social objectives, such as productivity and industrial peace. The FWC also considered whether the agreement was likely to promote industrial harmony and stability, and whether it was consistent with the principles of the National Workplace Relations System.

The FWC found that the agreement was a genuinely negotiated agreement, and that it met the requirements of the public interest test. The FWC noted that the agreement provided for fair and reasonable terms and conditions, and that it promoted economic and social objectives, such as productivity and industrial peace. The FWC also found that the agreement was likely to promote industrial harmony and stability, and that it was consistent with the principles of the National Workplace Relations System. The FWC approved the agreement, subject to certain modifications to the agreement to ensure that it complied with the Act.

The FWC made orders approving the Fredon ACT Pty Ltd Construction Enterprise Agreement 2022, subject to certain modifications. The modifications related to the provisions of the agreement that were not consistent with the Act. The FWC noted that the modifications were minor, and that the agreement would provide stability and certainty to employees and employers in the construction industry. The FWC also noted that the agreement would promote industrial harmony and stability, and that it was 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