Application for approval of the UGL Maintenance (South-East) Queensland Enterprise Agreement 2024

[1] UGL Engineering Pty Ltd (the Employer) has applied for approval of an enterprise agreement known as the UGL Maintenance (South-East) Queensland Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Act, commencing operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 28 October 2024 and the Agreement was made on 10 May 2025. Accordingly, the genuine agreement requirements and the better off overall test requirements are those applying on and from 6 June 2023.

[3] The Fair Work Commission (the Commission) raised certain concerns regarding the Agreement with the Employer, and as a result, the Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A. Pursuant to s.190(4) of the Act, I sought the views of the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) and employee bargaining representatives regarding the undertakings, allowing a period of two business days from receipt of the undertakings to provide any views. The CEPU advised that it was content with the undertakings provided by the Employer.

[4] 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. Pursuant to s.190 of the Act, I accept the undertakings. In accordance with s.201(3) of the Act, I note that the undertakings are taken to be a term of the Agreement.

[5] I indicated to the Employer my view that the Agreement's flexibility term did not meet the requirements of s.203 of the Act, and that in the event of approval, the model flexibility term would be inserted into the Agreement. Pursuant to s.202(4) of the Act, the model flexibility term prescribed by Schedule 1 of the Fair Work (Model Terms) Determination 2025 is attached to the Agreement and taken to be a term of it.

[6] In correspondence issued to the parties, I indicated to the parties that the Agreement appeared to contain a clause referencing error in clause 5.5(f) of the Agreement, which concludes with the words "...paid for at the rates prescribed in Clause Error! Reference source not found. (Overtime)." I expressed my view to the parties that this was an obvious error, defect or irregularity within the meaning of s.218A of the Act. I sought the views of the parties as to whether the Commission should vary the Agreement to correct the error under s.218A.

[7] The Employer submitted that the Commission should exercise its discretion to vary the Agreement to correct the error by replacing page 9 of the Agreement, on which the error appears, with a 'replacement' page 9 provided by the Employer. The CEPU also indicated that it supported the variation sought by the Employer.

[8] I am satisfied that the concluding words of clause 5.5(f) of the Agreement are an obvious error typographical error within the meaning of s.218A(1) of the Act. The variation sought by the Employer would amend clause 5.5(f) of the Agreement, such that it would read, "...paid for at the rates prescribed in Clause 24 (Overtime)." It is obvious that the intention of clause 5.5(f) was to refer to the overtime rates provided elsewhere in the Agreement. The overtime rates are prescribed in clause 24.

[9] Accordingly, I exercise my discretion to vary the Agreement under s.218A of the Act to correct the obvious typographical error in clause 5.5(f). The variation sought will operate from the operative date of the Agreement, being 24 June 2025. The Agreement is varied by replacing page 9 with the 'replacement' page 9 supplied by the Employer. The replacement page varies only the error in clause 5.5(f). The version of the Agreement published with this decision contains the varied clause.

[10] I have taken into consideration the material filed in the Commission. 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. The Agreement does not cover all of the employees of the employer, however, taking into account s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[11] The CEPU, being a bargaining representative for the Agreement, has given notice under s.183 it wants the Agreement to cover it. In accordance with s.201(2) of the Act I note that the Agreement covers the CEPU.

[12] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 24 June 2025. The nominal expiry date of the Agreement is 24 June 2028.

Printed by authority of the Commonwealth Government Printer