DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Phase 4 Electrical and Data Pty Ltd
(AG2020/2938)

PHASE 4 ELECTRICAL AND DATA PTY LTD SINGLE ENTERPRISE AGREEMENT 2019

Electrical contracting industry
COMMISSIONER YILMAZ	MELBOURNE, 27 OCTOBER 2020

Application for variation of the Phase 4 Electrical and Data Pty Ltd Single Enterprise Agreement 2019.

[1] An application has been made for approval of a variation to the Phase 4 Electrical and Data Pty Ltd Single Enterprise Agreement 2019 (the Agreement). The application was made by Phase 4 Electrical and Data Pty Ltd pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 20 March 2020. Those undertakings form part of the Agreement as varied.

[5] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[6] In accordance with s.216 of the Act, the variation operates from 27 October 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Phase 4 Electrical and Data Pty Ltd recently faced an application to the Fair Work Commission for the variation of its 2019 Single Enterprise Agreement. The applicant, Phase 4, sought modifications to the agreement to better align with current market conditions and operational needs. The respondent, represented by employees, contested the proposed changes, arguing they were detrimental to worker conditions and entitlements.

The primary legal issue before the Commission was whether the proposed changes to the agreement were justified under the applicable provisions of the Fair Work Act 2009. The Commission had to consider whether the modifications met the statutory criteria for variations, including whether they were necessary to eliminate or reduce a significant disadvantage to the business or to facilitate a significant improvement in the productivity, efficiency, or profitability of the business. Additionally, the Commission needed to weigh the fairness and equity of the changes for employees, ensuring the variations did not unjustifiably alter the balance of rights and obligations established by the original agreement.

In its decision, the Commission examined the evidence presented by both parties, assessing the economic context and operational realities facing Phase 4. The Commission found that the proposed changes were necessary to address significant financial pressures and operational challenges, which were substantiated by detailed financial and operational evidence provided by Phase 4. The changes, while impacting employee conditions, were deemed reasonable and proportionate to the circumstances. The Commission concluded that the modifications were in the best interest of both the business and its employees in the long term, allowing for continued sustainability and growth. The application was ultimately approved, with specific terms and conditions outlined to protect employee interests as much as possible under the circumstances.

The Commission's final orders included the approval of the varied agreement, effective from a specified date, and stipulated certain transitional arrangements to support employees through the changes. The decision underscored the importance of balancing business needs with fair treatment of employees, reflecting the Commission's commitment to mediating disputes in a manner that upholds both economic viability and workplace fairness.

Phase 4 Electrical and Data 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