[2019] FWCA 1398

The attached document replaces the document previously issued with the above code on 4 March 2019.

The title of the Agreement in the subject line has been corrected to address a typographical error.

Associate to Commissioner McKinnon

Dated 5 March 2019

[2019] FWCA 1398

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Southern Cross Electrical Engineering Limited
(AG2018/7302)

SOUTHERN CROSS ELECTRICAL ENGINEERING LIMITED ELECTRICAL SUPPLY INDUSTRY QUEENSLAND ENTERPRISE AGREEMENT 2018-2021

Electrical contracting industry
COMMISSIONER MCKINNON	MELBOURNE, 4 MARCH 2019

Application for approval of the Southern Cross Electrical Engineering Limited Electrical Supply Industry Queensland Enterprise Agreement 2018-2021.

[1] Application has been made for approval of an enterprise agreement known as the Southern Cross Electrical Engineering Limited Electrical Supply Industry Queensland Enterprise Agreement 2018-2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by Southern Cross Electrical Engineering Limited. The Agreement is a single enterprise agreement.

[2] Written undertakings have been given in accordance with s.190 of the Act. 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, 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] 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 11 March 2019. The nominal expiry date of the Agreement is 31 March 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Southern Cross Electrical Engineering Limited applied to the Fair Work Commission to approve the Electrical Supply Industry Queensland Enterprise Agreement 2018-2021. The agreement was proposed between the company and the Electrical Trades Union of Australia. The nature of the dispute was whether the agreement met the necessary standards for approval under the Fair Work Act 2009.

The court was required to determine whether the agreement was a "better off overall test" (BOOT) agreement. This involved assessing if the agreement provided employees with a net benefit when compared to the applicable award or safety net. Additionally, the court needed to consider whether the agreement met the procedural requirements for approval as outlined in the Fair Work Act 2009.

The court found that the agreement met the BOOT, as the benefits provided to the employees under the agreement were greater than the benefits they would have received under the applicable award. The court also concluded that the agreement had been negotiated in good faith and that the necessary procedural requirements for approval had been met. Therefore, the court approved the agreement.

The court ordered that the Electrical Supply Industry Queensland Enterprise Agreement 2018-2021 be approved and registered under the Fair Work Act 2009. The agreement would apply to employees of Southern Cross Electrical Engineering Limited who are members of the Electrical Trades Union of Australia. The approval of the agreement would provide a framework for the terms and conditions of employment for these employees for the duration of the agreement.

Southern Cross Electrical Engineering Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established