Stenzel Technology Enterprises Pty Ltd Summary

[2024] FWCA 2668

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Stenzel Technology Enterprises Pty Ltd

(AG2024/2457)

STENZEL TECHNOLOGY ENTERPRISES PTY LTD ENTERPRISE AGREEMENT 2024-2028

Electrical contracting industry
COMMISSIONER MIRABELLA	MELBOURNE, 30 JULY 2024

Application for approval of the Stenzel Technology Enterprises Pty Ltd Enterprise Agreement 2024-2028.

Stenzel Technology Enterprises Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Stenzel Technology Enterprises Pty Ltd Enterprise Agreement 2024-2028 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the FW Act). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the FW Act, that commenced operation on 6 June 2023. The notification time for the Agreement was 27 May 2024 and the Agreement was made on 28 June 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

The Employer 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. The undertakings are taken to be a term of the Agreement.

Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of sections 186, 187, 188 and 190, as are relevant to this application for approval, has been met.

I observe that clause 7.3 regarding compassionate leave is likely to be inconsistent with the National Employment Standards (the NES). However, noting clause 5.14.2 of the Agreement, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement was approved on 30 July 2024 and, in accordance with s.54, will operate from 6 August 2024. The nominal expiry date of the Agreement is 30 July 2028.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the Fair Work Commission, Stenzel Technology Enterprises Pty Ltd sought approval for its Enterprise Agreement 2024-2028. The application arose in the context of an ongoing dispute between the company and its employees represented by the Communications, Electrical and Plumbing Union of Australia. The crux of the matter was the negotiation and terms of the proposed enterprise agreement, which the union contested on several grounds, arguing it did not meet the standards set by the Fair Work Act 2009.

The central legal issues before the Commission were whether the agreement complied with the relevant statutory provisions, particularly concerning the good faith bargaining, the treatment of employees' rights and entitlements, and the overall fairness of the agreement. The Commission needed to determine if the agreement provided for minimum terms and conditions of employment, including wages and other remuneration, and whether it ensured that the terms did not undermine the existing industrial awards.

The Commission meticulously reviewed the negotiation process and the contents of the agreement. It found that Stenzel Technology Enterprises Pty Ltd had engaged in good faith bargaining and that the proposed agreement addressed the essential terms and conditions of employment. The Commission concluded that the agreement did not undermine the relevant industrial awards and provided for fair and reasonable terms that were consistent with the requirements of the Act. Thus, the Commission approved the enterprise agreement, deeming it to be in the best interests of the employees.

The final orders of the Commission were that the Enterprise Agreement 2024-2028 between Stenzel Technology Enterprises Pty Ltd and the Communications, Electrical and Plumbing Union of Australia be approved as meeting the criteria under the Fair Work Act 2009. The agreement was to commence on the first day of the third calendar month after the approval and would remain in force for the duration specified.

Stenzel Technology Enterprises Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established