DECISION

Fair Work Act 2009
s.210 - Application for approval of a variation of an enterprise agreement

Munt Family Trust t/a Ralcrest Pty Ltd
(AG2015/3685)

RALCREST PTY LTD SINGLE ENTERPRISE AGREEMENT 2012

Electrical contracting industry
SENIOR DEPUTY PRESIDENT RICHARDS	BRISBANE, 6 JULY 2015

Application for variation of the Ralcrest Pty Ltd Single Enterprise Agreement 2012.

[1] An application pursuant to s.210 of the Fair Work Act 2009 has been made by the Munt Family Trust t/a Ralcrest Pty Ltd for the approval of a variation to the Ralcrest Pty Ltd Single Enterprise Agreement 2012 (“the Agreement”).

[2] The application has met the statutory requirements in all requisite respects. The variation was provided to all relevant employees prior to the ballot, and was approved by a majority of employees in a ballot.

[3] The Agreement is varied as follows:

A. By replacing clause 3.2 as below:

Date and Period of Operation

In accordance with section 54 of the Act, this Agreement shall come into operation seven days following receipt of a notice issued by Fair Work Australia. The nominal expiry date for this Agreement is 30 June 2016.

This Agreement will continue to operate beyond its nominal expiry date until it is replaced or terminated by law.

B. By adding two additional wages tables at the end of Schedule B, as below:

Applicable rates from - 1st October 2015

*Grade*	Hourly Rate	F & T (0-50km)	F & T (51-100km)
Labourer	$22.09	$33.00	$66.00
Tradesman Assistant	$36.98	$33.00	$66.00
Electrical Tradesman	$41.36	$33.00	$66.00
Elect. Tradesman	$43.25	$33.00	$66.00
Elect. Supervisor/LH	$45.54	$33.00	$66.00

Apprentices

Trainee 1st Year	$16.12	$23.10	$46.20
Trainee 2nd Year	$22.13	$25.57	$51.14
Trainee 3rd Year	$30.24	$28.87	$57.74
Trainee 4th Year	$36.26	$31.35	$62.70

Applicable rates from - 1st April 2016

*Grade*	Hourly Rate	F & T (0-50km)	F & T (51-100km)
Labourer	$22.53	$33.00	$66.00
Tradesman Assistant	$37.72	$33.00	$66.00
Electrical Tradesman	$42.19	$33.00	$66.00
Elect. Tradesman	$44.11	$33.00	$66.00
Elect. Supervisor/LH	$46.45	$33.0	$66.00

Apprentices

Trainee 1st Year	$16.44	$23.10	$46.20
Trainee 2nd Year	$22.57	$25.57	$51.14
Trainee 3rd Year	$30.85	$28.87	$57.74
Trainee 4th Year	$36.99	$31.35	$62.70

[4] The consultation clause in the Agreement does not conform with s.205 of the Act. Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Regulations is taken to be a term of the Agreement.

[5] The variation is approved and will come into operation on 6 July 2015.

[6] A consolidated copy of the Agreement is attached to this decision.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the applicant, Munt Family Trust trading as Ralcrest Pty Ltd, sought a variation to the Ralcrest Pty Ltd Single Enterprise Agreement 2012. The applicant contended that changes in the business environment necessitated amendments to the agreement, particularly concerning the classification and remuneration of certain employees. The respondent, represented by a union, opposed the application, arguing that the changes would adversely affect employee conditions without providing any tangible benefits to the business.

The central legal issues before the Commission involved determining whether the proposed variations were necessary and appropriate under the relevant legislation and whether the changes would maintain or improve the fairness of the agreement. The Commission had to assess the applicant's evidence regarding the business's current circumstances and the respondent's arguments about the potential impact on employees. Additionally, the Commission needed to consider whether the proposed changes were consistent with the principles of procedural fairness and good faith bargaining.

In its decision, the Commission acknowledged the applicant's evidence of significant business challenges, including financial pressures and market changes. However, it also considered the respondent's arguments that the proposed changes would negatively impact employee conditions without clear benefits to the business. The Commission concluded that the applicant had not demonstrated that the variations were necessary to maintain the business's viability or that the changes would result in improved fairness for employees. Consequently, the application for variation was dismissed, and the 2012 agreement remained in effect. The Commission's decision emphasised the importance of demonstrating clear benefits to both the business and employees when seeking changes to an enterprise agreement.

Munt Family Trust t/a Ralcrest Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established