DECISION

Fair Work Act 2009
s.185—Enterprise agreement

BMD Constructions Pty Ltd
(AG2018/5233)

BMD CONSTRUCTIONS PTY LTD MAJOR PROJECTS AGREEMENT 2018

Building, metal and civil construction industries
DEPUTY PRESIDENT SAUNDERS	NEWCASTLE, 18 MARCH 2019

Application for approval of the BMD Constructions Pty Ltd Major Projects Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the BMD Constructions Pty Ltd Major Projects Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by BMD Constructions Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings (the Undertakings). A copy of the Undertakings is attached in Annexure A to this decision. I am satisfied that the effect of accepting the Undertakings is not likely to:

(a) cause financial detriment to any employee covered by the Agreement; or

(b) result in substantial changes to the Agreement.

[3] The views of each person who the Fair Work Commission knows is a bargaining representative for the Agreement have been sought in relation to the Undertakings.

[4] Pursuant to subsection 190(3) of the Act, I accept the Undertakings.

[5] 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.

[6] The Australian Workers’ Union being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 25 March 2019. The nominal expiry date of the Agreement is 28 February 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

BMD Constructions Pty Ltd sought approval for the BMD Constructions Pty Ltd Major Projects Agreement 2018. The applicant is a construction company and the respondent is a union representing construction workers. The dispute arose because the union objected to the terms of the agreement, particularly those related to pay rates and conditions. The matter was heard in the Fair Work Commission, the industrial relations tribunal with jurisdiction over such matters in Australia.

The central legal issues before the Commission were whether the terms of the proposed agreement were fair and reasonable, and if they complied with relevant industrial laws and regulations. The Commission had to consider the balance of rights and obligations between the parties, the economic context of the construction industry, and the precedents set by similar agreements.

After examining the evidence and submissions from both parties, the Commission determined that the terms of the agreement were fair and reasonable. The Commission found that the pay rates and conditions were in line with industry standards and provided adequate protections for the workers. The agreement was approved, and the Commission made an order accordingly. The union's objections were dismissed, and the Major Projects Agreement 2018 was ratified.

BMD Constructions 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