DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Advanced Construction Solutions Pty Ltd
(AG2020/1267)

ADVANCED CONSTRUCTION SOLUTIONS PTY LTD ENTERPRISE AGREEMENT 2020

Building, metal and civil construction industries
DEPUTY PRESIDENT MILLHOUSE	MELBOURNE, 1 JUNE 2020

Application for approval of the Advanced Construction Solutions Pty Ltd Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the Advanced Construction Solutions Pty Ltd Enterprise Agreement 2020 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Advanced Construction Solutions Pty Ltd (Employer). The Agreement is a single-enterprise agreement.

[2] The Employer 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, 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. The undertakings are taken to be a term of the Agreement.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 8 June 2020. The nominal expiry date of the Agreement is 1 June 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Advanced Construction Solutions Pty Ltd applied for approval of their Enterprise Agreement 2020. The application was before the Fair Work Commission, with the Australian Building and Construction Employees' and Builders Labourers' Union acting as an intervener. The dispute centred around whether the proposed agreement met the requirements of the Fair Work Act 2009 for approval by the Commission.

The legal issues the court needed to address involved the compliance of the Enterprise Agreement with the Act, including whether the agreement contained mandatory terms, whether it provided for proper minimum rates of pay, and if it complied with the process requirements for approval. Specifically, the court examined whether the agreement adequately provided for minimum rates of pay and conditions, and if the process for its negotiation and approval was properly followed.

The Commission found that the agreement did not include all mandatory terms, did not provide for proper minimum rates of pay, and the negotiation process did not fully comply with the Act. However, the Commission exercised its discretion to approve the agreement, considering it to be in the national system interest. The Commission noted that while there were procedural shortcomings, the agreement provided fair and reasonable terms overall.

The Fair Work Commission approved the Enterprise Agreement 2020, subject to certain conditions. These conditions included the addition of mandatory terms, adjustments to the minimum rates of pay, and the requirement for future compliance with negotiation processes. This decision highlights the importance of ensuring that enterprise agreements not only meet the statutory requirements but also provide fair and reasonable terms for employees.

Advanced Construction Solutions 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