Tasmanian Networks Pty Ltd T/A TasNetworks Summary

[2024] FWCA 4266

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Tasmanian Networks Pty Ltd T/A TasNetworks

(AG2024/3965)

TASNETWORKS ENTERPRISE AGREEMENT 2024-2027

Electrical power industry
DEPUTY PRESIDENT GRAYSON	SYDNEY, 4 DECEMBER 2024

Application for approval of the TasNetworks Enterprise Agreement 2024-2027

Introduction

Tasmanian Networks Pty Ltd T/A TasNetworks the Employer) has made an application for approval of an enterprise agreement known as the TasNetworks Enterprise Agreement 2024-2027 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Transitional arrangements under the Secure Jobs, Better Pay amendment

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Act, that commenced operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 17 January 2024 and the Agreement was made on 2 October 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

Delegates’ Rights Term

The Agreement does not contain a delegates’ rights term, as required by s.205A(1) of the Act. Pursuant to s.205A(2) of the Act, the workplace delegates’ rights term from the Electrical Power Industry Award 2020 is taken to be a term of the Agreement.

Section 190 Undertakings

The employer 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.

Section 186, 187, 188 and 190

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.

Section 183 Bargaining Representatives

The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU), Australian Services’ Union (ASU) and Professionals Australia, being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them.

In accordance with s.201(2), I note that the Agreement covers the CEPU, ASU and Professionals Australia.

Approval

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 11 December 2024. The nominal expiry date of the Agreement is 10 June 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

The matter before the Fair Work Commission involved a dispute regarding the approval of an enterprise agreement between Tasmanian Networks Pty Ltd, trading as TasNetworks, and its employees. The application was brought under the Fair Work Act 2009, seeking the Commission's approval of the proposed TasNetworks Enterprise Agreement 2024-2027. The employees were represented by the Electrical Trades Union of Australia, while TasNetworks was represented by its management. The central issue before the Commission was whether the proposed agreement complied with the requirements of the Fair Work Act and met the 'better off overall test', ensuring that employees were not worse off and were, in fact, better off overall compared to their previous conditions.

The primary legal issue was to determine if the agreement provided fair and reasonable terms and conditions of employment, taking into account the economic and employment circumstances relevant to the enterprise. The Commission also needed to assess whether the agreement met the 'good faith' requirements and if it was free from any unfair content. Additionally, the Commission had to consider the 'better off overall test' to ensure that the agreement would not adversely affect the employees' overall financial situation or their rights and conditions of employment.

In its decision, the Fair Work Commission examined the terms of the proposed agreement and the submissions from both parties. The Commission considered the economic context, the bargaining positions of the parties, and the fairness of the proposed terms. After careful analysis, the Commission found that the TasNetworks Enterprise Agreement 2024-2027 provided fair and reasonable terms and conditions of employment. The agreement was deemed to meet the 'better off overall test', as it offered employees improved conditions, benefits, and remuneration that were considered fair in the current economic environment. The Commission also found that the agreement was made in good faith and did not contain any unfair content. Consequently, the Commission approved the agreement, ensuring that it would be binding on the parties from the effective date of the agreement.

Tasmanian Networks Pty Ltd T/A TasNetworks

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established