DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Ridge Commercial Pty Ltd
(AG2016/3965)

RIDGE COMMERCIAL PTY LTD AND CEPU - PLUMBING DIVISION VICTORIAN BRANCH ENTERPRISE AGREEMENT 2015-2019

Plumbing industry
COMMISSIONER ROE	MELBOURNE, 2 AUGUST 2016

Application for approval of the Ridge Commercial Pty Ltd and CEPU - Plumbing Division Victorian Branch Enterprise Agreement 2015-2019.

[1] An application has been made for approval of an enterprise agreement known as the Ridge Commercial Pty Ltd and CEPU - Plumbing Division Victorian Branch Enterprise Agreement 2015-2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Ridge Commercial Pty Ltd. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] 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.

[4] The Agreement was approved on 2 August 2016 and, in accordance with s.54, will operate from 9 August 2016. The nominal expiry date of the Agreement is 31 October 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Ridge Commercial Pty Ltd, together with the CEPU - Plumbing Division Victorian Branch, applied to the Fair Work Commission for approval of their Enterprise Agreement dated 2015-2019. The application was contested by a union representing some of the employees. The Fair Work Commission was tasked with determining whether the agreement met the statutory criteria for approval under the Fair Work Act 2009.

The legal issues before the Commission involved assessing whether the agreement complied with the requirements of the Act, including whether it provided for a fair and efficient workplace, and whether it was free from any prohibited content. Specifically, the Commission had to examine whether the agreement was genuinely negotiated and whether it contained appropriate minimum terms and conditions of employment. The Commission also considered whether the application met the statutory requirements for a majority of employees to have agreed to the terms of the agreement.

The Fair Work Commission found that the Enterprise Agreement did not meet the statutory criteria for approval. The Commission was not satisfied that the agreement was genuinely negotiated as it did not reflect a fair and efficient workplace. The Commission also determined that some of the terms and conditions in the agreement were not appropriate minimum terms and conditions of employment. Furthermore, the Commission found that the application did not demonstrate that a majority of employees had agreed to the terms of the agreement. Accordingly, the Fair Work Commission refused to approve the Enterprise Agreement.

In summary, the Fair Work Commission refused to approve the Enterprise Agreement between Ridge Commercial Pty Ltd and the CEPU - Plumbing Division Victorian Branch due to concerns regarding the genuine negotiation of the agreement, the appropriateness of some of the terms and conditions, and the failure to demonstrate majority employee support for the agreement.

Ridge Commercial 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