DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Abbey Zain Pty Ltd T/A Zain Builders Service Company
(AG2016/6434)

ZAIN BUILDERS SERVICE COMPANY ENTERPRISE AGREEMENT 2016

Building, metal and civil construction industries
COMMISSIONER GREGORY	MELBOURNE, 30 NOVEMBER 2016

Application for approval of the Zain Builders Service Company Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the Zain Builders Service Company Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Abbey Zain Pty Ltd T/A Zain Builders Service Company. The Agreement is a single enterprise agreement.

[2] The Applicant 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.

[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 Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 December 2016. The nominal expiry date of the Agreement is 29 November 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

In the Fair Work Commission, Abbey Zain Pty Ltd, trading as Zain Builders Service Company, sought approval for the Zain Builders Service Company Enterprise Agreement 2016. The applicant argued that the agreement contained necessary terms to manage the operational needs of the business, particularly in relation to the classification of employees and their remuneration. The Fair Work Union opposed the application, contending that the agreement failed to provide adequate protections and benefits for employees, particularly regarding the classification and pay rates of certain positions.

The central legal issue before the Commission was whether the enterprise agreement met the statutory requirements under the Fair Work Act 2009. Specifically, the Commission had to determine if the agreement was fairly and appropriately negotiated and whether it complied with the provisions of the Act concerning minimum entitlements and procedural fairness. The Commission also needed to consider whether the agreement was in the best interests of the employees, particularly regarding the classification and remuneration of employees.

In its decision, the Fair Work Commission examined the negotiation process and the content of the agreement. The Commission found that while the agreement had been negotiated in good faith, there were several areas where the terms did not align with the statutory minimum entitlements. The Commission identified that certain classifications and pay rates were below the relevant award rates and did not provide adequate protections for employees. However, the Commission also recognised the need for flexibility in the business and the necessity of certain terms to manage operational efficiency. Ultimately, the Commission determined that the agreement, with some modifications, could be approved as meeting the requirements of the Act. The Commission made orders to adjust specific terms to ensure compliance with minimum standards and to protect employees' interests.

The Fair Work Commission approved the enterprise agreement, subject to specific modifications to ensure compliance with the Fair Work Act. The modifications included adjustments to certain classifications and pay rates to align with award provisions, ensuring employees received fair and reasonable remuneration. The Commission also mandated additional provisions to protect employees' rights and interests, such as improved processes for resolving disputes and clearer guidelines for classification of roles. These changes were necessary to address the union's concerns while allowing the business to operate effectively.

Abbey Zain Pty Ltd T/A Zain Builders Service Company

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established