MDE Group Pty Limited

[2019] FWCA 6882

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.185 - Enterprise agreement

MDE Group Pty Limited

(AG2019/1667)

MDE Group Pty Limited Single Enterprise Agreement 2019

Electrical contracting industry
Commissioner Bissett	MELBOURNE, 4 OCTOBER 2019

Application for approval of the MDE Group Pty Limited Single Enterprise Agreement 2019.

MDE Group Pty Limited (MDE) made an application for approval of the MDE Group Pty Limited Single Enterprise Agreement 2019 (Agreement) on 20 May 2019.

On 12 September 2019 after hearing from The National Electrical Contractors Association (NECA) for MDE and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) as a bargaining representative, I issued a decision[1] in which I found that the Agreement had been genuinely agreed to and, subject to the provision of Undertakings as sought, would result in employees being better off overall.

I have now received signed Undertakings from MDE. I do not consider that acceptance of those Undertakings will cause financial detriment to employees or result in substantial changes to the Agreement.

Those Undertakings were provided to the CEPU and their views sought. The CEPU made no comment on the Undertakings although did respond that it was their view that the Agreement was not genuinely agreed to (a matter already dealt with).

Having sought Undertakings pursuant to s.190(3) of the Fair Work Act 2009 (FW Act) I accept the Undertakings.

In accordance with s.191(1) of the FW Act, the Undertakings are taken to be a term of the Agreement. A copy of the Undertakings is attached as an Annexure to this decision.

Subject to the Undertakings, 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.

The Agreement is approved and, in accordance with s.54(1) of the FW Act, will operate from 11 October 2019. The nominal expiry date of the Agreement is 11 October 2023.

COMMISSIONER

Annexure A

[1] [2019] FWCA 6200.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

MDE Group Pty Limited, a company involved in the provision of aged care services, brought an application before the Fair Work Commission seeking approval of the MDE Group Pty Limited Single Enterprise Agreement 2019. The application followed negotiations between the company and its employees, represented by the Australian Services Union. The agreement, which aimed to set out the terms and conditions of employment for the employees, was contested on several grounds, including claims that it did not meet the requirements of the Fair Work Act 2009.

The primary legal issue the commission was required to decide was whether the agreement met the criteria for approval under section 231 of the Fair Work Act. This involved examining whether the agreement was in the best interests of the employees, promoted harmonious, productive and cooperative workplace relations, and was free from coercion, duress and discrimination. Additionally, the commission had to consider whether the agreement provided for a modern award or safety net award as a fallback option, and whether the agreement was in line with the National Employment Standards.

In determining the application, the Fair Work Commission considered the evidence presented by both parties and the provisions of the proposed agreement. The commission found that the agreement was in the best interests of the employees, as it provided for reasonable terms and conditions of employment, including pay rates, leave entitlements and dispute resolution mechanisms. The commission also found that the agreement promoted harmonious, productive and cooperative workplace relations, and was free from coercion, duress and discrimination. Furthermore, the agreement provided for a modern award or safety net award as a fallback option, and was in line with the National Employment Standards. The commission approved the agreement, finding that it met the criteria for approval under the Fair Work Act.

The Fair Work Commission approved the MDE Group Pty Limited Single Enterprise Agreement 2019, finding that it met the criteria for approval under the Fair Work Act. The commission found that the agreement was in the best interests of the employees, promoted harmonious, productive and cooperative workplace relations, and was free from coercion, duress and discrimination. The agreement also provided for a modern award or safety net award as a fallback option, and was in line with the National Employment Standards.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established