ETU’s proposed enterprise agreement update
ETU’s proposed enterprise agreement is bad for employees, bad for employers and bad for NSW and the ACT
The National Electrical and Communications Association is calling on the NSW, ACT and federal governments to intervene to prevent the Electrical Trades Union forcing a multi-enterprise agreement on companies and workers across the state and territory, without their consent or input.
The agreement would give the ETU unprecedented power on construction sites across NSW and the ACT and risks skyrocketing costs on regional health, infrastructure and energy projects.
To secure an agreement that covers all of NSW and the ACT, the ETU has made a single interest authorisation application to the Fair Work Commission. Its application had the support of just two employers, which are interstate electrical contracting firms, and around 1,000 Sydney-based ETU members whose employers are now roped into bargaining for an agreement. This is a fraction of the dozens of employers and thousands of employees – who will have no seat at the bargaining table – the union intends to force into the multi-enterprise agreement through militant industrial tactics.
If the FWC decides in favour of the ETU, it will see two interstate employers and a small group of Sydney-based ETU members effectively set the pay and conditions for electrical workers in every corner of NSW and the ACT.
The union is testing the limits and interpretation of multi-enterprise agreement legislation introduced by the Albanese government and designed to protect low-paid workers, not electricians who out-earn lawyers and doctors.
Estimates suggest applying the same high-cost, low-productivity conditions in the current Sydney agreement to regional projects valued over $100m – from hospitals to renewable projects - would double the cost of electrical labour, which represents around 7% of total project cost. (Electrical work represents around 12% of the overall cost of a project, with labour costs making up 60% of the electrical component).
A group of major electrical contractors are seeking a multi-enterprise agreement that is limited in scope to Sydney. This limited scope is in line with previous agreements, providing flexibility and ensuring they reflect regional differences.
While NECA continues to advocate for single enterprise agreements, we understand the approach taken by major contractors who are acting to avert the ETU’s aggressive misuse of industrial relations laws as it seeks to take control the electrical industry in NSW and the ACT.
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