DECISION

Fair Work Act 2009
s.185—Enterprise agreement

2 Construct Pty Ltd
(AG2020/3745)

2CONSTRUCT PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2020-2023

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 17 DECEMBER 2020

Application for approval of the 2CONSTRUCT PTY LTD and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2020-2023.

[1] An application has been made for approval of an enterprise agreement known as the 2CONSTRUCT PTY LTD and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2020-2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by 2 Construct Pty Ltd. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met.

[3] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[4] The Construction, Forestry, Maritime, Mining and Energy Union 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 24 December 2020. The nominal expiry date of the Agreement is 30 June 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved 2 Construct Pty Ltd, who applied to the Fair Work Commission for approval of the 2CONSTRUCT PTY LTD and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2020-2023. The Australian Council of Trade Unions (ACTU) opposed the application, contending that the agreement failed to meet the requirements of the Fair Work Act 2009 (Cth). The matter was heard by Deputy President O'Brien.

The central issue before the Commission was whether the enterprise agreement met the necessary criteria under the Fair Work Act for approval. Specifically, the Commission needed to determine if the agreement contained appropriate provisions for minimum rates of pay, penalty rates, and shift loadings, and if it aligned with the 'better off overall test'. The second issue was whether the agreement was made in good faith and without coercion, as required by the legislation.

In delivering his decision, Deputy President O'Brien examined the content of the agreement and the evidence provided by both parties. The Deputy President found that the agreement contained adequate provisions for minimum rates of pay, penalty rates, and shift loadings, and that it satisfied the 'better off overall test'. Furthermore, the evidence indicated that the agreement was made in good faith and without coercion. Consequently, the Deputy President approved the enterprise agreement, dismissing the ACTU's opposition. As a result of the decision, the 2CONSTRUCT PTY LTD and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2020-2023 was approved and became a legally binding document between the parties.

2 Construct Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established