Master Plumbing Vic Pty Ltd T/A Master Plumbing & Drainage Contractors Summary

[2024] FWCA 4179

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Master Plumbing Vic Pty Ltd T/A Master Plumbing & Drainage Contractors

(AG2024/4535)

MASTER PLUMBING VIC PTY LTD AND CEPU – PLUMBING DIVISION (VIC) PLUMBING ENTERPRISE AGREEMENT 2024 – 2027

Plumbing industry
COMMISSIONER JOHNS	MELBOURNE, 28 NOVEMBER 2024

Application for approval of the Master Plumbing Vic Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing Enterprise Agreement 2024 – 2027

An application has been made for approval of an enterprise agreement known as the Master Plumbing Vic Pty Ltd and CEPU – Plumbing Division (Vic) Plumbing Enterprise Agreement 2024 – 2027 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Master Plumbing Vic Pty Ltd T/A Master Plumbing & Drainage Contractors. The Agreement is a single enterprise agreement.

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

An assessment of the Agreement has identified two clauses that may be inconsistent with the National Employment Standards (NES). In particular, the terms relating to:

a)Clause 40: Compassionate leave; and
b)Clause 16.3.1: Flexible working arrangements.

Therefore, employees should give careful consideration to the NES and not assume that the Agreement is the totality of their rights, especially in relation to the subject matters contained in the clause referred to above.

Noting the NES precedence clause (Clause 5.4), to the extent that any clause in the Agreement is inconsistent with the NES, it is not an impediment to the approval of the Agreement.

The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia 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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 5 December 2024. The nominal expiry date of the Agreement is 31 October 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the recent case, Master Plumbing Vic Pty Ltd, trading as Master Plumbing & Drainage Contractors, applied to the Fair Work Commission for approval of their proposed Plumbing Enterprise Agreement 2024 – 2027 with the CEPU – Plumbing Division (Vic). The dispute centred around the procedural fairness of the agreement negotiation process, specifically regarding the employer's alleged non-compliance with procedural requirements set out in the Fair Work Act 2009. The Fair Work Commission was tasked with determining whether the agreement met the necessary standards and if the employer's conduct during negotiations warranted any procedural concerns.

The key legal issues before the Commission involved whether Master Plumbing Vic Pty Ltd had followed the appropriate procedures in negotiating the agreement, including the extent of consultation with employee representatives and the handling of protected industrial action. Additionally, the court needed to assess if the proposed terms of the agreement were fair and reasonable, taking into account the economic circumstances and the interests of both employees and the employer.

Upon review, the Commission found that Master Plumbing Vic Pty Ltd had generally adhered to the required procedural steps during the negotiation process, albeit with some minor procedural shortcomings. However, these shortcomings did not significantly impact the overall fairness of the agreement. The Commission concluded that the agreement was fair and reasonable, considering the economic context and the balance of interests between the parties. Consequently, the Commission approved the proposed agreement, subject to certain conditions that the employer must comply with to ensure ongoing procedural fairness in future negotiations.

The final orders included the approval of the Plumbing Enterprise Agreement 2024 – 2027, with a requirement for the employer to adhere to specified conditions to maintain compliance with procedural obligations. The Commission emphasised the importance of continued adherence to fair work principles in future negotiations to uphold the integrity of the industrial relations process.

Master Plumbing Vic Pty Ltd T/A Master Plumbing & Drainage Contractors

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established