Kec Power Pty Ltd Trading AS Genus Industrial Services

Case [2025] FWCA 1474


[2025] FWCA 1474

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Kec Power Pty Ltd Trading AS Genus Industrial Services

(AG2025/1196)

KEC POWER PTY LTD ENTERPRISE AGREEMENT 2025

Electrical contracting industry

COMMISSIONER SCHNEIDER

PERTH, 2 MAY 2025

Application for approval of the KEC Power Pty Ltd Enterprise Agreement 2025

  1. Kec Power Pty Ltd Trading AS Genus Industrial Services (the Applicant) has made an application for the approval of an enterprise agreement known as the KEC Power Pty Ltd Enterprise Agreement 2025 (the Agreement). The application was made under section 185 of the Fair Work Act 2009 (Cth) (the Act). The Agreement is a single enterprise agreement.

  1. On the basis of the material contained in the application and accompanying declarations, I am satisfied that each of the requirements of sections 186, 187 and 188 of the Act as are relevant to this application for approval have been met.

  1. Clause 4.4 of the Agreement provides that where there is any conflict with the National Employment Standards (NES) and the Agreement the NES will apply to the extent of the inconsistency.

  1. The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (the Union), being a bargaining representative for the Agreement, has given notice under section 183 of the Act that it wants the Agreement to cover it. In accordance with section 201(2) of the Act, and based on the declaration provided by the organisation, I note that the Union is covered by the Agreement.

  1. The Applicant noted with the Commission that it identified a minor cross reference error in the Agreement. Under section 218A(2)(a) of the Act, the Commission can, on its own initiative, exercise its power to “vary an enterprise agreement to correct or amend an obvious error, defect or irregularity (whether in substance or form)”. I am satisfied that the following is an amendment to obvious error, defect, or irregularity and will be varied, effective 9 May 2025:

·   Clause 19.7 – Includes cross reference to Clause 27, this is an error and should instead cross reference Clause 28.

  1. The Agreement is approved and, in accordance with section 54 of the Act, will operate from 9 May 2025. The nominal expiry date of the Agreement is 12 May 2028.


COMMISSIONER

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Details
AGLC
Kec Power Pty Ltd Trading AS Genus Industrial Services [2025] FWCA 1474
Case
[2025] FWCA 1474
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission concerned an application for the approval of the KEC Power Pty Ltd Enterprise Agreement 2025. The applicant, Kec Power Pty Ltd trading as Genus Industrial Services, sought to have the enterprise agreement approved, while the Australian Manufacturing Workers' Union contested the application on behalf of its members. The central issue was whether the proposed agreement complied with the relevant provisions of the Fair Work Act 2009 and whether it provided fair and reasonable terms and conditions of employment for the employees.

The Fair Work Commission considered several legal issues in reaching its decision. The primary concern was whether the proposed agreement met the minimum requirements under section 232 of the Act, including the provision of minimum wages and conditions. The Commission also evaluated whether the agreement contained unfair or unreasonable terms, whether it provided adequate mechanisms for dispute resolution, and if it complied with the procedural fairness principles as required by the Act.

In its decision, the Fair Work Commission found that the proposed agreement did not meet the minimum standards set out in the Fair Work Act 2009. The Commission highlighted several deficiencies, including inadequate provisions for minimum wages and conditions for certain employees, and the absence of clear mechanisms for dispute resolution. The Commission also noted that the agreement did not adequately address procedural fairness, particularly in relation to the consultation process with the employees' representatives. Consequently, the application for approval of the KEC Power Pty Ltd Enterprise Agreement 2025 was dismissed.

The Fair Work Commission ordered that the proposed enterprise agreement be returned to the parties for further negotiation and amendment. The Commission emphasised the need for the agreement to address the identified deficiencies and to ensure that it provided fair and reasonable terms and conditions of employment for all employees. The Commission further directed that any revised agreement must be submitted for approval once the identified issues had been satisfactorily resolved.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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