DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Fredon Industries Pty Ltd T/A Fredon
(AG2019/3788)

FREDON INDUSTRIES PTY LIMITED & ETU SYDNEY CONSTRUCTION ENTERPRISE AGREEMENT 2019

Electrical contracting industry
COMMISSIONER JOHNS	MELBOURNE, 31 OCTOBER 2019

Application for approval of the Fredon Industries Pty Limited & ETU Sydney Construction Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Fredon Industries Pty Limited & ETU Sydney Construction Enterprise Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act). It has been made by Fredon Industries Pty Ltd T/A Fredon. The Agreement is a single enterprise agreement.

[2] 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.

[3] 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.

[4] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 (Cth) is taken to be a term of the Agreement.

[5] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) 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 organisation.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 November 2019. The nominal expiry date of the Agreement is 31 October 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Fredon Industries Pty Ltd, trading as Fredon, applied for the approval of the Fredon Industries Pty Limited & ETU Sydney Construction Enterprise Agreement 2019, which was to be assessed by the Fair Work Commission. The dispute centred around the terms and conditions outlined in the proposed enterprise agreement between Fredon and the union, ETU Sydney, specifically related to employment arrangements, pay rates, and conditions of work for employees under the agreement.

The legal issues before the Commission involved verifying whether the proposed enterprise agreement complied with the requirements set out in the Fair Work Act 2009. This included ensuring the agreement met the "better off overall test" to confirm that employees would not be worse off financially, and that it was negotiated in good faith, among other statutory obligations. Additionally, the Commission had to consider whether the agreement sufficiently covered all necessary terms and conditions of employment and provided adequate protections for employees.

The Fair Work Commission, after careful examination of the proposed agreement and the submissions from both parties, found that the agreement complied with the statutory requirements. The Commission concluded that the agreement met the "better off overall test" and was negotiated in good faith. Furthermore, it found that all necessary terms and conditions of employment were covered, and the agreement provided adequate protections for employees. Thus, the Commission approved the Fredon Industries Pty Limited & ETU Sydney Construction Enterprise Agreement 2019.

In light of the approval, the Commission issued its orders confirming the enterprise agreement as legally binding for the relevant employees and employers. The agreement was set to take effect from the date of the Commission’s decision, with all associated terms and conditions being enforceable under the Fair Work Act.

Fredon Industries Pty Ltd T/A Fredon

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established