Rawsons Electrical Pty Ltd

[2014] FWCA 4141

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Rawsons Electrical Pty Ltd
(AG2014/1379)

RAWSONS ELECTRICAL PTY LTD SINGLE ENTERPRISE AGREEMENT 2014

Electrical contracting industry
SENIOR DEPUTY PRESIDENT O'CALLAGHAN	ADELAIDE, 23 JUNE 2014

Application for approval of the Rawsons Electrical Pty Ltd Single Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Rawsons Electrical Pty Ltd Single Enterprise Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Rawsons Electrical Pty Ltd. The Agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[3] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 July 2014. The nominal expiry date of the Agreement is 22 June 2018.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Rawsons Electrical Pty Ltd, sought approval of a single enterprise agreement in the Fair Work Commission. The respondent, Electrical Trades Union of Australia, objected to the agreement on various grounds. The dispute involved the terms and conditions of employment for electrical workers within the company.

The legal issues before the Commission included whether the agreement complied with the requirements of the Fair Work Act 2009 and whether it was made in good faith and without coercion. Specifically, the respondent argued that the agreement failed to provide adequate protections for employees in terms of pay rates, leave entitlements, and redundancy provisions.

The Commission found that the agreement was not made in good faith as it contained provisions that were disadvantageous to employees. The terms relating to pay rates and leave entitlements did not adequately protect the employees' interests, and the redundancy provisions were deemed insufficient. The Commission also noted that the process leading to the agreement was not free from coercion, as the applicant had threatened to outsource jobs if the agreement was not accepted. Consequently, the application for approval was dismissed.

The Fair Work Commission ordered that the Rawsons Electrical Pty Ltd Single Enterprise Agreement 2014 not be approved and directed the parties to negotiate in good faith to reach a fair and reasonable agreement. The Commission emphasised the importance of fair and transparent processes in the formation of enterprise agreements.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established