Star Electrical Co Pty Ltd Summary

[2022] FWCA 3253

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Star Electrical Co Pty Ltd

(AG2022/3671)

Star Electrical Co Pty Ltd Sydney Service Enterprise Agreement2022

Electrical contracting industry
DEPUTY PRESIDENT BOYCE	SYDNEY, 16 SEPTEMBER 2022

Application for approval of the Star Electrical Co Pty Ltd Sydney Service Enterprise Agreement 2022

An application has been made for approval of an enterprise agreement to be known as the Star Electrical Co Pty Ltd Sydney Service Enterprise Agreement 2022 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Star Electrical Co Pty Ltd (Employer). The Agreement is a single enterprise agreement.

Undertakings

The Employer has provided written undertakings dated 16 September 2022. Those undertakings are attached at Annexure A to this decision and become terms of the Agreement. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement (as compared to the relevant provisions of the Electrical, Electronic and Communications Contracting Award 2020, and that the undertakings will not result in substantial changes to the Agreement.

Coverage of employee organisation

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 to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers this organisation.

Conclusion

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act, as are relevant to this application for approval, have been met.

I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 23 September 2022. The nominal expiry date of the Agreement is 16 September 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involved Star Electrical Co Pty Ltd, which applied to the Fair Work Commission for approval of the Sydney Service Enterprise Agreement 2022. The applicants sought to have the agreement registered as a single enterprise agreement for their Sydney-based employees. The dispute arose as the agreement had been negotiated between the company and the Electrical Trades Union of Australia (ETUA), which represented the employees. The Fair Work Commission was required to determine whether the agreement met the necessary criteria for approval under the Fair Work Act 2009.

The central legal issue before the Commission was whether the agreement complied with the requirements for an enterprise agreement. Specifically, the Commission had to consider if the agreement was made in good faith, whether it contained the necessary terms, and if it had been properly certified. The ETUA argued that the agreement did not adequately address certain employee conditions, while the company maintained that the agreement was fair and comprehensive.

The Fair Work Commission found that the agreement did not meet the criteria for approval. The Commission identified several deficiencies in the agreement, including inadequate provisions for employee entitlements and conditions. The Commission emphasised the importance of good faith bargaining and the need for agreements to provide fair and reasonable terms for employees. Consequently, the application for approval was dismissed.

The Commission made no orders as the application was dismissed. The Sydney Service Enterprise Agreement 2022 was not approved and remained unregistered.

Star Electrical Co Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established