The dispute arises under workplace laws introduced in 2022 that allow groups of employers to negotiate one agreement covering multiple businesses but that carve out much of the construction sector after concerns about sector-wide strikes. The electrical union is now testing how far those carve-outs really go by targeting 11 major contractors operating on big projects in NSW and the ACT, even though only a small minority of those companies is currently on board with the plan.
Employer group the National Electrical and Communications Association is preparing a test case to convince the workplace tribunal that the construction exemption should extend to electricians and other specialist trades working on building sites, not only to general construction labour. At the same time, four large electrical contractors are launching their own action that relies on provisions preventing a union from securing multi-employer bargaining orders where employers have already lodged an alternative multi-employer proposal that focuses on projects above about $120 million and largely within Sydney.
The outcome is likely to shape how far unions and employers can stretch the new multi-employer framework and could influence the cost and timing of infrastructure across the state. If the union’s approach is upheld, a single agreement could eventually cover almost every electrical contractor in the region wherever a majority of workers support it. If the employers succeed, it may reinforce the original carve-out for construction but also raise new questions about whether the law properly reflects how modern projects rely on specialist subcontractors for most of the work.
