DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

Acciona Construction Australia Pty Ltd
(AG2021/3921)

ACCIONA CONSTRUCTION AUSTRALIA PTY LTD QUEENSLAND ENTERPRISE AGREEMENT 2021

Building, metal and civil construction industries
COMMISSIONER SPENCER	BRISBANE, 26 FEBRUARY 2021

Application for approval of the Acciona Construction Australia Pty Ltd Queensland Enterprise Agreement 2021.

[1] An application has been made for approval of a greenfields agreement known as the Acciona Construction Australia Pty Ltd Queensland Enterprise Agreement 2021 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Acciona Construction Australia Pty Ltd.

[2] This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act. The Agreement covers applies to a new enterprise of the Applicant, being civil construction works in the state of Queensland, and covers employees engaged in civil construction and related works within Queensland. The Applicant said that employees chosen are reflective of those persons and classifications to be engaged in terms of the Agreement and represent an operationally and geographically distinct group.

[3] The Agreement does not cover:

• Cross River Rail and related works;

• Brisbane Metro Project and related works;

• Rookwood Weir Project and related works;

• Inland Rail - Gowrie to Kagaru (G2K)- PPP; and

• Any Greenfields or Project Specific Agreement made by the Employer or Joint Venture which the Applicant is part, and which is approved by the Fair Work Commission, will cover the Employer and any employees at that particular Project/ site to the exclusion of this Agreement.

The Applicant said that these employees will be geographically, operationally and perhaps even organisationally distinct to the broader category of prospective employees proposed to be covered by the Agreement. The Applicant further set out that the Agreement does not cover administration or salaried employees, as these employees are operationally distinct in the works that they perform.

[4] In their Form F20 – Employer’s declaration in support of application for approval of greenfields agreement, the Applicants set out that these employees will be geographically, operationally and perhaps even organisationally distinct to the broader category of prospective employees proposed to be covered by the agreement.

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

[6] In accordance with s.187(5)(a) of the Act, I am satisfied that the Australian Workers’ Union (AWU) are entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it.

[7] I am also satisfied that it is in the public interest to approve the Agreement.

[8] Pursuant to s.53(2)(b) of the Act I note that the Agreement was made with the AWU and the Agreement covers this organisation.

[9] The Agreement is approved, and in accordance with s.54 of the Act, will operate from 5 March 2021. The nominal expiry date of the Agreement is 30 December 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

The case involves Acciona Construction Australia Pty Ltd, which sought approval of its Queensland Enterprise Agreement 2021. The application was made to the Fair Work Commission. The dispute arose from a disagreement between the applicant and certain of its employees regarding the terms of the proposed enterprise agreement. The employees, represented by the Construction, Forestry, Maritime, Mining and Energy Union, contested several aspects of the agreement, arguing it did not meet the statutory requirements for approval.

The legal issues before the Commission were whether the proposed agreement complied with the Fair Work Act 2009, particularly sections relating to procedural fairness, genuine bargaining, and the provision of a safety net. The Commission had to determine if the agreement was made in good faith, whether it was the product of genuine efforts to reach an agreement, and if it provided employees with at least the minimum safety net entitlements. Additionally, the Commission considered whether the applicant had followed the appropriate procedural steps in seeking approval for the agreement.

The Fair Work Commission found that the applicant had acted in good faith and made genuine efforts to reach the agreement. The Commission concluded that the agreement provided employees with the minimum safety net entitlements and adhered to the procedural requirements set out in the Act. The Commission noted that while some issues were raised by the union, these did not undermine the overall validity of the agreement. Consequently, the Commission approved the application and authorised the enterprise agreement.

The final orders of the Commission were that the Acciona Construction Australia Pty Ltd Queensland Enterprise Agreement 2021 be approved and registered, effective from the date of the decision. The agreement was to be binding on the parties and enforceable in accordance with the Fair Work Act.

Acciona Construction Australia Pty Ltd

DECISION

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Legal Principle Established