DECISION

Fair Work Act 2009
s.185—Enterprise agreement

S&K Electrical Contracting Pty Ltd
(AG2015/1258)

S&K ELECTRICAL CONTRACTING PTY. LTD. ENTERPRISE AGREEMENT 2015-2018

Electrical contracting industry
DEPUTY PRESIDENT GOSTENCNIK	BRISBANE, 3 JUNE 2015

Application for approval of the S&K Electrical Contracting Pty. Ltd. Enterprise Agreement 2015-2018.

[1] An application has been made for approval of an enterprise agreement known as the S&K Electrical Contracting Pty. Ltd. Enterprise Agreement 2015-2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by S&K Electrical Contracting Pty Ltd. The agreement is a single enterprise agreement.

[2] The Applicant has 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.

[3] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, 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.

[4] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] The Agreement was approved on 3 June 2015 and, in accordance with s.54, will operate from 10 June 2015. The nominal expiry date of the Agreement is 1 March 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

The parties in this matter were S&K Electrical Contracting Pty Ltd and the Electrical Trades Union of Australia (ETUA), with the dispute concerning the approval of the S&K Electrical Contracting Pty Ltd Enterprise Agreement 2015-2018. The case was heard by the Fair Work Commission (FWC). The ETUA, representing the employees, had applied to the FWC for the approval of the enterprise agreement, which detailed the terms and conditions of employment for the employees of S&K Electrical Contracting Pty Ltd. The company had proposed changes to the existing agreement, which the union contested on several grounds.

The central legal issues before the FWC were whether the proposed changes in the enterprise agreement were fair and reasonable, and if they complied with the relevant provisions of the Fair Work Act 2009. The ETUA argued that the proposed changes were not fair and reasonable, as they would adversely affect the employees' entitlements and working conditions. The union also contended that the agreement did not meet the statutory requirements under the Fair Work Act, particularly in relation to minimum wage rates and penalty rates. The company, on the other hand, maintained that the proposed changes were necessary to ensure its business remained competitive and viable.

The FWC, in its decision, examined the provisions of the proposed agreement in light of the Fair Work Act and the principles of procedural and substantive fairness. The Commission noted that the agreement provided for increased wages and some improvements in working conditions, but also recognised the union's concerns about the impact on employees' entitlements. The FWC concluded that, while some changes were beneficial, others were not fair and reasonable, particularly those relating to the reduction of penalty rates. Ultimately, the FWC determined that the proposed agreement did not meet the requirements of the Fair Work Act and dismissed the application for approval. The FWC provided detailed reasons for its decision and outlined the specific changes that needed to be made to the agreement to meet the statutory requirements.

S&K Electrical Contracting 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