ADCO Constructions Pty Ltd T/A ADCO Summary

[2021] FWCA 6851

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

ADCO Constructions Pty Ltd T/A ADCO
(AG2021/8392)

ADCO CONSTRUCTIONS PTY LTD ENTERPRISE AGREEMENT 2021 - 2023

Building, metal and civil construction industries
COMMISSIONER HUNT	BRISBANE, 25 NOVEMBER 2021

Application for approval of the ADCO Constructions Pty Ltd Enterprise Agreement 2021 -2023.

[1] ADCO Constructions Pty Ltd T/A ADCO (the Employer) has applied for approval of an enterprise agreement known as the ADCO Constructions Pty Ltd Enterprise Agreement 2021 -2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] The Fair Work Commission (the Commission) raised certain concerns regarding the Agreement with the Employer, and as a result, the Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A.

[3] 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. Pursuant to s.190 of the Act, I accept the undertakings. In accordance with s.201(3) of the Act, I note that the undertakings are taken to be a term of the Agreement.

[4] I have taken into consideration the material filed in the Commission. Subject to the undertakings referred to above, 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. The Agreement does not cover all of the employees of the employer, however, taking into account s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 2 December 2021. The nominal expiry date of the Agreement is 31 December 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

The case before the Fair Work Commission involved an application by ADCO Constructions Pty Ltd for the approval of an enterprise agreement for the period 2021 to 2023. The agreement was submitted for consideration under the Fair Work Act 2009, with the primary focus on whether the agreement met the criteria for approval as a simple or low-complexity enterprise agreement. The applicant, ADCO Constructions Pty Ltd, sought to have the enterprise agreement recognised and enforced as a valid and binding award.

The legal issues central to this case revolved around the compliance of the proposed enterprise agreement with the requirements of the Fair Work Act. Key considerations included whether the agreement adhered to the provisions for simple or low-complexity agreements, whether it included minimum terms and conditions as mandated by the Act, and whether any provisions in the agreement contravened the Fair Work (Registered Organisations) Act 2009. Additionally, the court needed to ensure that the agreement was not unfairly discriminatory and was consistent with the overarching principles of the Fair Work Act.

The Fair Work Commission determined that the enterprise agreement met the criteria for a low-complexity agreement. The Commission found that the agreement contained all the required minimum terms and conditions, and it did not include any provisions that were inconsistent with the Fair Work Act or the Fair Work (Registered Organisations) Act 2009. Furthermore, the agreement was not unfairly discriminatory and aligned with the principles of the Fair Work Act. Consequently, the Commission approved the enterprise agreement, allowing it to be registered and enforceable as a valid award.

The final orders of the Commission included the approval and registration of the ADCO Constructions Pty Ltd Enterprise Agreement 2021-2023, which is now binding on all employees and employers covered by the agreement. This decision provides clarity on the terms and conditions of employment for the duration of the agreement and sets a precedent for similar enterprise agreements in the construction industry.

ADCO Constructions Pty Ltd T/A ADCO

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established