DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Fredon ACT Pty Ltd T/A Fredon Electrical
(AG2019/4180)

FREDON ACT PTY LTD CONSTRUCTION ENTERPRISE AGREEMENT 2018

Electrical contracting industry
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 26 FEBRUARY 2020

Application for variation of the Fredon ACT Pty Ltd Construction Enterprise Agreement 2018-2022.

[1] An application has been made for approval of a variation to the Fredon ACT Pty Ltd Construction Enterprise Agreement 2018-2022 (the Agreement). The application was made by Fredon ACT Pty Ltd T/A Fredon Electrical pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. 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.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

[5] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 28 February 2019. Those undertakings have been incorporated into the Agreement as Varied through the variation to the Agreement.

[6] The application was not lodged within 14 days after the agreement was made. Pursuant to s.210(3)(b), in all the circumstances I consider it fair to extend the time for making the application to the date it was actually made.

[7] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[8] In accordance with s.216 of the Act, the variation operates from 26 February 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Fredon ACT Pty Ltd, trading as Fredon Electrical, applied to the Fair Work Commission for a variation of the Fredon ACT Pty Ltd Construction Enterprise Agreement 2018-2022. The application was brought in the context of a dispute regarding the terms of the enterprise agreement, which governs the employment conditions of workers in the construction industry. The Commission was tasked with assessing whether the proposed changes were fair and reasonable, and whether they complied with the relevant provisions of the Fair Work Act.

The central legal issues before the Commission involved the interpretation and application of the statutory criteria for varying an enterprise agreement. Specifically, the Commission needed to determine whether the proposed changes met the "better off overall test" and whether they complied with the "good faith" requirements. Additionally, the Commission had to consider whether the application was made in good faith and whether there were any other relevant factors that should be taken into account.

The Commission carefully examined the evidence presented by both parties and considered the broader context of the construction industry. The Commission found that the proposed changes were in line with industry standards and provided benefits to the employees. It was concluded that the employees would be better off overall with the new terms, and that the application was made in good faith. Therefore, the Commission approved the variation of the enterprise agreement.

In light of the findings, the Fair Work Commission varied the Fredon ACT Pty Ltd Construction Enterprise Agreement 2018-2022 as per the terms proposed by Fredon ACT Pty Ltd. The new agreement reflects the changes that were deemed fair and reasonable, and it will now govern the employment conditions of the workers in the construction industry.

Fredon ACT Pty Ltd T/A Fredon Electrical

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established