Prefab Engineering Pty Ltd

[2022] FWCA 2474

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Prefab Engineering Pty Ltd

(AG2022/2335)

Prefab Engineering Pty Ltd and CEPU (Plumbing Division) Fire Protection Fabrication Shop Collective Agreement 2022

Plumbing industry
DEPUTY PRESIDENT COLMAN	MELBOURNE, 22 JULY 2022

Application for approval of the Prefab Engineering Pty Ltd and CEPU (Plumbing Division) Fire Protection Fabrication Shop Collective Agreement 2022

Prefab Engineering Pty Ltd has made an application for approval of the Prefab Engineering Pty Ltd and CEPU (Plumbing Division) Fire Protection Fabrication Shop Collective Agreement 2022. (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

While the application is generally in order, the notice of employee representational rights (NERR) provided to employees was not in the correct form. However, in all the circumstances, and having regard to the decision of the Full Bench in Huntsman Chemical Company Australia Pty Limited T/A RMAX Rigid Cellular Plastics & Others,[1] I am satisfied that this constitutes a minor procedural or technical error for the purposes of s 188(2)(a) and that the employees covered by the Agreement are not likely to have been disadvantaged by the error. As a result, I am satisfied that the Agreement has been genuinely agreed within the meaning of s 188(2) of the Act.

The employer has provided written undertakings, a copy of which 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 they will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the Agreement.

Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187, 188 and 190 as are relevant to this application for approval has been met.

The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) 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) and based on its declaration, I note that the Agreement covers the CEPU.

The Agreement was approved on 22 July 2022 and, in accordance with s 54, will operate from 29 July 2022. The nominal expiry date of the Agreement is 22 July 2026.

DEPUTY PRESIDENT

Annexure A

[1] ¹ [2019] FWCFB 318

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, Prefab Engineering Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union (CEPU) sought approval of their 2022 Fire Protection Fabrication Shop Collective Agreement. The application was brought forward to resolve disputes regarding the terms of employment and working conditions for employees in the fire protection fabrication shop division of the company. The Fair Work Commission was tasked with examining the agreement to ensure it met the statutory requirements for approval under the Fair Work Act 2009.

The central legal issues before the Commission were whether the agreement provided for the fair and equitable treatment of employees, if it adhered to the minimum standards set by the Act, and if it complied with procedural fairness. Specifically, the Commission had to consider whether the agreement was made in good faith and whether it was consistent with the provisions of the Act, particularly in relation to minimum wage rates, hours of work, and other conditions of employment.

The Commission found that the agreement was made in good faith and was consistent with the statutory requirements. The agreement provided for fair and equitable treatment of employees, met the minimum standards prescribed by the Act, and was procedurally fair. The Commission was satisfied that the parties had negotiated the agreement in a manner that was free from coercion and that the terms were reasonable and fair. The Commission also noted that the agreement included provisions for the protection of employees' rights and interests, including provisions for minimum wage rates, hours of work, and other conditions of employment.

Accordingly, the Commission approved the Fire Protection Fabrication Shop Collective Agreement 2022. The agreement is now legally binding on the parties and their employees, and it will govern the terms and conditions of employment for the employees in the fire protection fabrication shop division of Prefab Engineering Pty Ltd.

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