DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Wormald Australia Pty Ltd T/A Wormald
(AG2019/3215)

WORMALD AUSTRALIA PTY LTD AND ETU ENTERPRISE AGREEMENT 2018-2021

Electrical contracting industry
COMMISSIONER WILSON	MELBOURNE, 12 SEPTEMBER 2019

Application for approval of the Wormald Australia Pty Ltd and ETU Enterprise Agreement 2018-2021.

[1] An application has been made for approval of an enterprise agreement known as the Wormald Australia Pty Ltd and ETU Enterprise Agreement 2018-2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Wormald Australia Pty Ltd T/A Wormald. The Agreement is a single enterprise agreement.

[2] The Employer has 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.

[3] 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.

[4] The application was not lodged within 14 days after the agreement was made. Pursuant to s.185(3)(b), in all the circumstances I consider it fair to extend the time for making the application to the date it was actually made.

[5] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia 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 organisation.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 19 September 2019. The nominal expiry date of the Agreement is 31 March 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicant, Wormald Australia Pty Ltd trading as Wormald, applied to the Fair Work Commission for approval of an enterprise agreement. The applicant is a large employer of electricians and electrical contractors in Australia. The respondent, the Electrical Trades Union (ETU), is the registered trade union representing electricians and electrical contractors. The parties entered into a proposed enterprise agreement, which was to cover the period from 1 January 2018 to 30 June 2021. The applicant sought approval of the agreement from the Commission under section 231 of the Fair Work Act 2009.

The key legal issue before the Commission was whether the proposed agreement complied with the provisions of the Fair Work Act, including the "better off overall test" (BOOT) under section 235 of the Act. The BOOT requires that employees be no worse off financially and, where possible, better off overall, compared to their previous terms and conditions of employment. The Commission had to determine whether the proposed agreement met these requirements.

The Commission found that the proposed agreement met the BOOT and was in the best interests of the employees. The Commission noted that the agreement provided for significant wage increases, improved leave entitlements, and better access to training and development opportunities. The Commission also found that the agreement provided for a fair and reasonable balance of interests between the parties. The Commission approved the proposed agreement, subject to certain modifications to ensure compliance with the Fair Work Act.

The final orders of the Commission were that the proposed enterprise agreement be approved, subject to the modifications made by the Commission. The modifications related to the calculation of overtime rates and the provision of shift premiums. The applicant and the respondent were directed to take all necessary steps to give effect to the approved agreement. The Commission also ordered that the agreement be registered with the Fair Work Commission and published on its website.

Wormald Australia Pty Ltd T/A Wormald

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established