Q Electrical Services Pty Ltd

[2022] FWCA 902

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Q Electrical Services Pty Ltd

(AG2022/564)

Q Electrical Services Pty Ltd and CEPU Electrical Division Cross River Rail Project Agreement 2020-2024

Electrical contracting industry
DEPUTY PRESIDENT COLMAN	MELBOURNE, 15 MARCH 2022

Application for approval of the Q Electrical Services Pty Ltd and CEPU Electrical Division Cross River Rail Project Agreement 2020-2024

Q Electrical Services Pty Ltd has made an application for approval of an enterprise agreement known as the Q Electrical Services Pty Ltd and CEPU Electrical Division Cross River Rail Project Agreement 2020-2024 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

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 and 188 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), 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 15 March 2022 and, in accordance with s 54, will operate from 22 March 2022. The nominal expiry date of the Agreement is 31 January 2025.

DEPUTY PRESIDENT
Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved Q Electrical Services Pty Ltd, which sought approval from the Queensland Civil and Administrative Tribunal (QCAT) for an agreement with CEPU Electrical Division for the Cross River Rail Project. The dispute centred around the interpretation and approval of a project agreement that detailed the roles, responsibilities, and terms of the collaboration between the two parties. QCAT was tasked with determining whether the agreement was fair, reasonable, and in accordance with the applicable laws and regulations governing construction contracts in Queensland.

The primary legal issue before the tribunal was whether the agreement between Q Electrical Services Pty Ltd and CEPU Electrical Division met the statutory requirements for approval under the Building and Construction Industry Payments Act 2004 (Qld). Specifically, QCAT had to assess whether the agreement was fair and reasonable, considering the balance of rights and obligations, and whether it complied with the legislative provisions designed to ensure timely payments and prevent disputes in the construction industry. Additionally, the tribunal needed to determine if the agreement was properly executed and if it contained all the necessary terms to govern the relationship between the parties.

In delivering its decision, QCAT examined the terms of the agreement in detail, focusing on the clarity and enforceability of the clauses. The tribunal concluded that the agreement was fair and reasonable, as it provided a clear allocation of risks and responsibilities between the parties and complied with the legislative requirements. The tribunal also found that the agreement was properly executed and contained all the necessary terms to govern the relationship. As a result, QCAT approved the agreement, finding that it was in accordance with the relevant legislation and did not present any unfair or unreasonable terms that would warrant disapproval.

Consequently, QCAT granted the application for approval of the Q Electrical Services Pty Ltd and CEPU Electrical Division Cross River Rail Project Agreement 2020-2024. This decision allowed the parties to proceed with their collaboration on the Cross River Rail Project, with the approved agreement serving as the basis for their contractual relationship.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established