DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Stowe Australia Pty Ltd T/A Stowe Australia Pty Ltd, Client Services Division
(AG2016/5227)

STOWE AUSTRALIA PTY LTD - SYDNEY CLIENT SERVICES DIVISION - ENTERPRISE AGREEMENT 2016

Electrical contracting industry
COMMISSIONER GREGORY	MELBOURNE, 4 NOVEMBER 2016

Application for approval of the Stowe Australia Pty Ltd – Sydney Client Services Division – Enterprise Agreement 2016.

Introduction

[1] This decision deals with an application for approval of an enterprise agreement known as the Stowe Australia Pty Ltd – Sydney Client Services Division – Enterprise Agreement 2016 (“the Agreement”). The application is made under s.185 of the Fair Work Act 2009 (Cth) (“the Act”) by the employer, Stowe Australia Pty Ltd (“Stowe”).

[2] The application was listed for approval on 22 September 2016, however, the Commission was advised on that day by a representative of the CEPU, Electrical Trade Union Division, NSW branch, (“the CEPU”) that the Union had some concerns about the application, and whether the Agreement should be approved. It accordingly requested that approval be delayed by a period of 7 days to enable it to give further consideration to the matter.

[3] The Commission agreed to this request, and was subsequently advised by the CEPU on 29 September 2016 that it now wished to make submissions about the application, and whether the Agreement should be approved. It provided a brief outline of submissions at this time which indicated that its concerns were about the scope and application of the proposed Agreement, whether the employees to be covered had been “fairly chosen,” and whether the Agreement was “validly made.” It also attached a proposed undertaking to be provided by the Applicant, which it suggested would deal with the concerns it had raised.

[4] The Commission subsequently set the matter down for hearing on 14 November 2016 and issued directions regarding the filing of further submissions and evidence.

[5] Stowe subsequently filed an outline of submissions, together with a witness statement of Mr Scott Gandy, in accordance with those directions. The submissions concluded by indicating, in summary, that the claims made by the CEPU should be rejected, and the Commission should proceed to approve the Agreement.

[6] On 28 October 2016 the Commission received further correspondence from the CEPU, indicating that the Union had reviewed the submissions and witness statement provided by Stowe, and was now of the view that its concerns had been satisfied. It accordingly advised that it withdrew its opposition to approval of the Agreement.

[7] In conclusion, I am satisfied that each of the requirements in ss.186, 187 and 188 of the Act, as are relevant to this application for approval, have been met. The Agreement is therefore approved and, in accordance with s.54 of the Act, will operate from 11 November 2016. The nominal expiry date of the Agreement is 3 November 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved Stowe Australia Pty Ltd, trading as Stowe Australia Pty Ltd, Client Services Division, which sought approval for the Enterprise Agreement 2016. The application was made under section 231 of the Fair Work Act 2009, and the dispute centred on whether the agreement met the necessary criteria for approval as a simple, modern, and fair enterprise agreement. The Commission had to determine if the agreement contained appropriate terms and conditions, and whether it was appropriately negotiated.

The key legal issues before the Commission were whether the agreement contained appropriate terms and conditions, was appropriately negotiated, and if it met the criteria for approval under the Fair Work Act. Specifically, the Commission needed to assess if the agreement adhered to the requirements set out in sections 231(2) and (3) of the Act, and if the terms were consistent with the principles of a simple, modern, and fair agreement. The Commission also had to consider if the agreement provided for appropriate minimum rates of pay and conditions, and if it was negotiated in good faith.

The Fair Work Commission found that the Enterprise Agreement 2016 was appropriately negotiated and contained appropriate terms and conditions. The Commission noted that the agreement was simple, modern, and fair, and met the criteria for approval under the Fair Work Act. The agreement was found to provide for appropriate minimum rates of pay and conditions, and the Commission was satisfied that it was negotiated in good faith. The Commission approved the application and accepted the agreement as a registered agreement.

The Fair Work Commission approved the application for the approval of the Stowe Australia Pty Ltd – Sydney Client Services Division – Enterprise Agreement 2016, and the agreement was registered under the Fair Work Act. The decision was made on the basis that the agreement met the criteria for approval, and the Commission was satisfied that it provided for appropriate minimum rates of pay and conditions, and was negotiated in good faith. The decision provides clarity for the parties involved and sets a precedent for similar enterprise agreements.

Stowe Australia Pty Ltd T/A Stowe Australia Pty Ltd, Client Services Division

DECISION

Introduction

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established