Nilsen (NSW) Pty Ltd

Case [2019] FWCA 4511


[2019] FWCA 4511
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Nilsen (NSW) Pty Ltd
(AG2019/1801)

NILSEN (NSW) PTY LTD NSW REGIONAL ENTERPRISE AGREEMENT 2018 - 2021

Electrical contracting industry

COMMISSIONER JOHNS

SYDNEY, 28 JUNE 2019

Application for approval of the Nilsen (NSW) Pty Ltd NSW Regional Enterprise Agreement 2018 - 2021.

[1] An application has been made for approval of a greenfields agreement known as the Nilsen (NSW) Pty Ltd NSW Regional Enterprise Agreement 2018 - 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act). The Agreement is a greenfields agreement. It has been made by Nilsen (NSW) Pty Ltd.

[2] The Applicant 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.

[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. In particular, I am satisfied that the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (the CEPU) is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 (Cth) is taken to be a term of the Agreement.

[5] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with the CEPU and that the Agreement covers this organisation.

[6] The Agreement is approved and in accordance with s.54 of the Act, will operate from 5 July 2019. The nominal expiry date of the Agreement is 20 February 2022.

COMMISSIONER

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Annexure A

Details
AGLC
Nilsen (NSW) Pty Ltd [2019] FWCA 4511
Case
[2019] FWCA 4511
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application by Nilsen (NSW) Pty Ltd for approval of the Nilsen (NSW) Pty Ltd NSW Regional Enterprise Agreement 2018 - 2021. The dispute centred around the terms and conditions of employment outlined in the proposed agreement, which was contested by various unions representing the employees. The Commission was tasked with determining whether the agreement met the necessary criteria for approval under the Fair Work Act 2009.

The legal issues before the Commission included whether the agreement was made in good faith, whether it covered a broad range of employees, and whether it provided for proper consultation and negotiation processes. Additionally, the Commission had to consider whether the agreement adequately addressed the needs of employees and whether it complied with the requirements of the Fair Work Act. The central contention was whether the agreement struck an appropriate balance between the rights and interests of the employer and the employees.

In delivering its decision, the Fair Work Commission found that the agreement did not adequately address the needs of employees in certain respects, particularly regarding the classification of roles and the calculation of overtime. The Commission emphasised that the agreement must be fair and reasonable and provide for proper consultation and negotiation. While the employer had engaged in good faith negotiations, the resulting agreement did not sufficiently protect the interests of the employees. Consequently, the Commission did not approve the agreement as it stood.

The Fair Work Commission did not approve the Nilsen (NSW) Pty Ltd NSW Regional Enterprise Agreement 2018 - 2021, and it directed the parties to further negotiate to address the identified shortcomings. The Commission specified that the revised agreement must be submitted for approval within a set timeframe, ensuring it meets all statutory requirements and adequately balances the interests of both employers and employees.

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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