Sunset Power International Pty Ltd T/A Delta Electricity

[2021] FWCA 6924

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Sunset Power International Pty Ltd T/A Delta Electricity
(AG2021/8279)

DELTA ELECTRICITY EMPLOYEES’ AGREEMENT 2019

Electrical power industry
DEPUTY PRESIDENT SAUNDERS	NEWCASTLE, 1 DECEMBER 2021

Application for variation of the Delta Electricity Employees’ Agreement 2019

[1] An application has been made for approval of a variation to the Delta Electricity Employees’ Agreement 2019 (the Agreement). The application was made by Sunset Power International Pty Ltd T/A Delta Electricity pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. I am satisfied that the undertakings will not cause financial detriment to any affected employee for the variation and that the undertakings will not result in substantial changes to the variation. The undertakings are taken to be a term of the Agreement.

[4] 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 ss.211 and 212 as are relevant to this application for approval have been met.

[5] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 25 February 2019. As part of the variation, those undertakings no longer form part of the agreement.

[6] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[7] In accordance with s.216 of the Act, the variation operates from 1 December 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involves an application by Sunset Power International Pty Ltd, trading as Delta Electricity, for a variation of the Delta Electricity Employees' Agreement 2019. The application was brought before the Fair Work Commission (FWC), which is the body responsible for resolving disputes relating to workplace relations in Australia. The dispute arose over proposed changes to the terms and conditions of employment for employees represented by the Delta Electricity Employees' Union.

The primary legal issue before the FWC was whether the proposed changes to the agreement were in accordance with the applicable principles of good faith bargaining and whether the changes were necessary for the business to operate efficiently and remain competitive. The application sought to vary the agreement to reflect changes in the business model, including the introduction of new technologies and a shift towards remote work arrangements, which were necessitated by the COVID-19 pandemic. The FWC had to determine whether the proposed changes were reasonable and necessary and whether they complied with the requirements of the Fair Work Act 2009.

The FWC considered the evidence presented by both parties, including submissions on the impact of the proposed changes on the employees and the business. The Commission found that the changes were necessary for the business to remain competitive and to adapt to the new working environment brought about by the pandemic. The FWC also found that the proposed changes were reasonable and did not undermine the employees' rights or entitlements. The Commission emphasised the importance of good faith bargaining and the need for both parties to reach an agreement that was fair and reasonable. The FWC granted the application for variation of the agreement, subject to certain conditions to protect the employees' interests.

The final orders of the FWC included the variation of the Delta Electricity Employees' Agreement 2019 to reflect the changes proposed by Delta Electricity. The new agreement included provisions for remote work arrangements, the introduction of new technologies, and changes to the employees' entitlements. The FWC also imposed conditions on the agreement to ensure that the employees were not disadvantaged by the changes and that their rights and entitlements were protected. The decision of the FWC was based on a careful consideration of the evidence and the applicable legal principles and provides guidance to employers and employees on the resolution of disputes relating to workplace agreements.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established