Te Connectivity Australia Pty Ltd

[2025] FWCA 2498

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Te Connectivity Australia Pty Ltd

(AG2025/1929)

TE CONNECTIVITY AUSTRALIA PTY LTD ENTERPRISE AGREEMENT NSW 2025-2028

Storage services
DEPUTY PRESIDENT WRIGHT	SYDNEY, 31 JULY 2025

Application for approval of the TE Connectivity Australia Pty Ltd Enterprise Agreement NSW 2025-2028

Introduction

TE Connectivity Australia Pty Ltd Trading as TE Connectivity Australia Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the TE Connectivity Australia Pty Ltd Enterprise Agreement NSW 2025-2028 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

The Agreement will apply to employees who are covered by the Storage Services and Wholesale Award 2020 (Storage Award).

NES Issues

Compassionate Leave

Clause 84 provides that an employee’s entitlement to carer’s leave is subject to the employee being responsible for the care and support of the person concerned, and in normal circumstances may not be taken where another person has taken leave to care for the same person. This does not appear to be consistent with s.97 of the Act. I note that in accordance with the NES precedence term in Clause 13 of the Agreement, this clause will be read and interpreted in conjunction with the NES.

Deduction/withholding of monies due to the employee on termination

Clause 72 of the Agreement provides that if the employee fails to give the required notice of termination to the employer, the employer has the right to withhold from an employee’s termination pay an amount that is equal to the period of notice not given. Clause 72 does not appear to limit the source of monies which may be deducted. The effect of this is that this clause appears to permit the employer to withhold monies owing to the employee under the NES (such as accrued but unused annual leave or long service leave on termination). This raises the issue that Clause 72 may be inconsistent with Chapter 2 Part 2.2 Division 2 of the Act.

Better off Overall Test (BOOT) Issues

The Agreement appears to cover apprentices and trainees at Clause 260 however it does not contain apprentice or trainee rates of pay. The Employer provided an undertaking to address this issue and submitted that apprentices and trainees will work a 7.6-hour day between Monday to Friday and will have two shift options provided below excluding meal breaks which are likely to be:

Shift 1 = 7:00am to 3:15pm
Shift 2 = 8:00am to 4:15pm (includes a mid-shift allowance)

Section 190 Undertakings

The Employer provided written undertakings to address the above issues. 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 Union Workers’ Union (UWU) being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it.

In accordance with s.201(2), I note that the Agreement covers the UWU.

Approval

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 August 2025. The nominal expiry date of the Agreement is 31 December 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

Te Connectivity Australia Pty Ltd, an employer, applied for the approval of an enterprise agreement which was proposed for employees in New South Wales, spanning the years 2025 to 2028. The dispute arose from the need to ensure the agreement met the legal requirements for fair and effective workplace relations as stipulated under the Fair Work Act 2009. The Fair Work Commission was the tribunal tasked with examining and deciding on the application.

The primary legal issues before the Commission were whether the proposed agreement provided for the employees' fair wages and conditions, whether it adhered to the provisions of the Fair Work Act, and if it promoted the objectives of the Act, including facilitating cooperative and productive workplace relations. The Commission also had to consider whether the agreement was negotiated in good faith and if it provided an appropriate framework for resolving workplace disputes.

In reaching its decision, the Commission reviewed the evidence provided by both parties and considered the broader context of the enterprise agreement's provisions. The Commission noted that the agreement provided for fair and reasonable wages and conditions for the employees, and that it contained provisions which aligned with the Fair Work Act's objectives. The Commission also found that the agreement had been negotiated in good faith and would provide an appropriate framework for resolving workplace disputes. Based on these findings, the Commission approved the application and the enterprise agreement was registered.

The Commission's final order was that the proposed enterprise agreement between Te Connectivity Australia Pty Ltd and the employees was approved and registered under the Fair Work Act 2009. The agreement was to take effect from the first day of July 2025 and remain in force until the first day of July 2028.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established