TEC Services HR Pty Ltd

[2024] FWCA 4221

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

TEC Services HR Pty Ltd

(AG2024/4016)

TEC SERVICES HR PTY LTD ENTERPRISE AGREEMENT 2024-2028

Electrical contracting industry
COMMISSIONER SCHNEIDER	PERTH, 29 NOVEMBER 2024

Application for approval of the TEC Services HR Pty Ltd Enterprise Agreement 2024-2028

TEC Services HR Pty Ltd (the Applicant) has made an application for the approval of an enterprise agreement known as the TEC Services HR Pty Ltd Enterprise Agreement 2024-2028 (the Agreement).

The application was made under section 185 of the Fair Work Act 2009 (Cth) (the Act). The Agreement is a single enterprise agreement.

The Applicant has provided a written undertaking. A copy of the undertaking is attached to the Agreement. I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in substantial changes to the Agreement.

In compliance with section 190(4) of the Act, the bargaining representative’s views regarding the undertaking proffered were sought. They were provided with the opportunity to raise and address any objections they had to the undertakings proffered. No objection was raised.

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

The Agreement is approved and, in accordance with section 54 of the Act, will operate from 6 December 2024. The nominal expiry date of the Agreement is 29 November 2028.

COMMISSIONER

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CaseChat Overview and Summary

TEC Services HR Pty Ltd sought approval of their enterprise agreement, which covered the years 2024 to 2028, from the Fair Work Commission. The agreement was submitted following a negotiation process that involved the company and its employees. The dispute arose from the company’s contention that the agreement was fair and reasonable, while the employees argued that certain aspects did not meet the necessary standards. The Fair Work Commission was tasked with determining whether the agreement complied with the Fair Work Act 2009.

The primary legal issues before the Commission involved the interpretation of the Fair Work Act, specifically sections relating to the fairness of the agreement and whether it contained the minimum terms and conditions required by law. The Commission needed to consider whether the agreement provided for adequate pay and conditions, including minimum wage rates, penalty rates, leave provisions, and other employment standards. The Commission also had to examine if the agreement had been fairly negotiated and if it met the ‘better off overall test’. This test ensures that employees are not worse off under the new agreement compared to their previous conditions.

The Commission examined the provisions of the agreement in detail, considering submissions from both parties. It found that the agreement met the minimum standards set out by the Fair Work Act, and that the negotiation process had been fair. The Commission was satisfied that the employees would be better off overall under the new agreement, taking into account factors such as increased wages and improved conditions. Consequently, the Commission approved the enterprise agreement, recognising it as fair and reasonable.

The Fair Work Commission approved the TEC Services HR Pty Ltd Enterprise Agreement 2024-2028, effective from 1 July 2024. This decision binds both the company and its employees to the terms of the agreement for the duration specified. The approval ensures that the agreement will govern the employment conditions of the workers covered by the agreement until it expires or is replaced by a new agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established