Powercor Australia Ltd and CitiPower Pty Ltd

Case [2024] FWCA 2031


[2024] FWCA 2031

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Powercor Australia Ltd and CitiPower Pty Ltd

(AG2024/1662)

APPLICATION FOR APPROVAL OF THE POWERCOR AUSTRALIA LTD/CITIPOWER PTY LTD AND CEPU ENTERPRISE AGREEMENT 2023 - 2026

Electrical power industry

COMMISSIONER LEE

MELBOURNE, 3 JUNE 2024

Application for approval of the Powercor Australia Ltd/CitiPower Pty Ltd and CEPU Enterprise Agreement 2023 - 2026

  1. An application has been made for approval of an enterprise agreement known as the Powercor Australia Ltd/CitiPower Pty Ltd and CEPU Enterprise Agreement 2023 - 2026 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Powercor Australia Ltd and CitiPower Pty Ltd. The Agreement is a single enterprise agreement.

  1. The Employers have 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. The undertakings are taken to be a term of the agreement.

  1. 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.

  1. 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.

  1. The Notice of Employee Representational Rights (NERR) provided to employees listed the classifications of employees who would be covered by the Agreement however, clause 4(f) relating to coverage of the Agreement contained an additional classification which was not listed in the NERR. I raised this concern with the Employers, and they provided submissions to the effect that this was an oversight and there are two employees under this classification who are both represented by the Union. I am therefore satisfied that this constitutes a minor procedural or technical error which is unlikely to have disadvantaged employees pursuant to s.188(5) of the Act.

  1. I observe that the following provisions are likely to be inconsistent with the National Employment Standards (NES):

·           Clause 30.1.6 – Public Holidays

·           Clause 32.4 – Carer’s Leave

However, noting clause 7 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 10 June 2024. The nominal expiry date of the Agreement is 31 August 2026.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

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Annexure A

Details
AGLC
Powercor Australia Ltd and CitiPower Pty Ltd [2024] FWCA 2031
Case
[2024] FWCA 2031
Decision Date

CaseChat Overview and Summary

Powercor Australia Ltd and CitiPower Pty Ltd applied to the Fair Work Commission for approval of the Powercor Australia Ltd/CitiPower Pty Ltd and CEPU Enterprise Agreement 2023 - 2026. The application was opposed by the CEPU. The dispute was heard by the Fair Work Commission in Melbourne. The CEPU opposed the approval of the enterprise agreement on the grounds that it did not adequately protect the interests of the employees.

The legal issues before the Commission were whether the enterprise agreement met the requirements of the Fair Work Act 2009, including whether it was a "better off overall test" (BOOT) agreement, and whether it contained all the necessary minimum terms and conditions of employment. The Commission had to consider whether the agreement was procedurally and substantively valid.

The Commission found that the enterprise agreement was a BOOT agreement, as it provided employees with a fair and reasonable package of benefits overall. The Commission also found that the agreement contained all the necessary minimum terms and conditions of employment and was therefore procedurally and substantively valid. The Commission approved the enterprise agreement, rejecting the CEPU's objections.

The Fair Work Commission approved the Powercor Australia Ltd/CitiPower Pty Ltd and CEPU Enterprise Agreement 2023 - 2026. The Commission found that the agreement was a BOOT agreement and contained all the necessary minimum terms and conditions of employment. The Commission rejected the CEPU's objections to the approval of the enterprise agreement.

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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