Backam Group Pty Ltd

[2024] FWCA 966

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Backam Group Pty Ltd

(AG2024/567)

BACKAM GROUP PTY LTD AND CFMEU ACT LABOUR HIRE, TRAFFIC CONTROL AND SITE CLEANING SECTOR AGREEMENT 2023

Labour hire construction industry
DEPUTY PRESIDENT WRIGHT	SYDNEY, 18 MARCH 2024

Application for approval of Backam Group Pty Ltd and CFMEU ACT Labour Hire, Traffic Control and Site Cleaning Sector Agreement 2023

Introduction

The Construction, Forestry and Maritime Employees Union (CFMEU) has made an application for approval of an enterprise agreement known as the Backam Group Pty Ltd and CFMEU ACT Labour Hire, Traffic Control and Site Cleaning Sector Agreement 2023 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Transitional arrangements under the Secure Jobs, Better Pay amendment

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023.

Under transitional arrangements, amendments made by Part 14 of Schedule 1 to the Amending Act in relation to genuine agreement requirements for agreement approval applications apply where the notification time for the agreement was on or after 6 June 2023. The notification time for the Agreement was 23 November 2023.

Under transitional arrangements, amendments made by Part 16 of Schedule 1 to the Amending Act in relation to the better off overall test requirements for agreement approval applications apply where the agreement was made on or after 6 June 2023. The Agreement was made on 28 February 2024.

Section 186, 187, 188 and 190

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.

Section 183 Bargaining Representatives

The CFMEU being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants to be covered by the Agreement.

In accordance with s.201(2), I note that the Agreement covers the CFMEU.

Approval

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 25 March 2024. The nominal expiry date of the Agreement is 1 November 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Fair Work Commission received an application for the approval of the Backam Group Pty Ltd and CFMEU ACT Labour Hire, Traffic Control and Site Cleaning Sector Agreement 2023. The applicants were Backam Group Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union, Australian Capital Territory Branch. The agreement sought to establish terms and conditions for employees in the labour hire, traffic control, and site cleaning sectors within the organisation. The legal issues before the Commission were whether the agreement complied with the relevant provisions of the Fair Work Act 2009, including meeting the requirements for good faith bargaining, providing for genuine agreement, and ensuring the agreement was in the public interest.

The Commission examined the negotiation process and the content of the agreement. It considered whether the bargaining was conducted in good faith and whether the agreement genuinely reflected the terms agreed upon by the parties. The Commission also assessed whether the agreement met the criteria for approval under the Fair Work Act, such as ensuring fair terms and conditions for employees and avoiding detriment to the public interest. After reviewing the evidence and submissions, the Commission concluded that the agreement complied with the legal requirements for approval.

In its decision, the Commission found that the negotiation process was conducted in good faith, and the agreement genuinely reflected the terms agreed upon by the parties. The Commission determined that the agreement provided fair terms and conditions for employees and did not cause detriment to the public interest. Based on these findings, the Commission approved the Backam Group Pty Ltd and CFMEU ACT Labour Hire, Traffic Control and Site Cleaning Sector Agreement 2023. The agreement became a registered agreement under the Fair Work Act, effective from the date of the Commission's decision.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established