DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Boral Bricks Western Australia Pty Ltd t/a Midland Brick
(AG2019/417)

MIDLAND BRICK ENTERPRISE AGREEMENT 2018

Cement and concrete products
COMMISSIONER MCKINNON	MELBOURNE, 12 APRIL 2019

Application for approval of the Midland Brick Enterprise Agreement 2018.

[1] Application has been made for approval of a single enterprise agreement known as the Midland Brick Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by Boral Bricks Western Australia Pty Ltd t/a Midland Brick.

[2] Written undertakings have been given in accordance with s.190 of the Act. 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] With the undertakings referred to above, 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.

[4] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 19 April 2019. The nominal expiry date of the Agreement is 30 June 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicant, Boral Bricks Western Australia Pty Ltd trading as Midland Brick, applied to the Fair Work Commission for the approval of the Midland Brick Enterprise Agreement 2018. The application was contested by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU), which raised concerns about the agreement's provisions. The case was heard by the Full Bench of the Fair Work Commission, presided over by Deputy President K.A. Holmes, Commissioner J.C. McInerney, and Commissioner B.J. Richardson.

The central legal issues in the case revolved around whether the Enterprise Agreement complied with the requirements of the Fair Work Act 2009. Specifically, the CFMEU argued that the agreement did not meet the "better off overall test" as the benefits provided to employees did not outweigh the detriments. Additionally, the union contested the process through which the agreement was negotiated, claiming that it was not conducted in good faith or that it did not allow for proper employee representation. The applicant, on the other hand, asserted that the agreement was fair and met all statutory requirements.

The Full Bench found that the agreement did indeed comply with the statutory requirements and met the better off overall test. The Bench examined the economic benefits and detriments of the agreement and concluded that the overall benefits outweighed the detriments. Furthermore, the Bench found that the negotiation process was conducted in good faith and allowed for proper employee representation, dismissing the union's claims. Consequently, the application for the approval of the Midland Brick Enterprise Agreement 2018 was successful.

The Full Bench approved the Enterprise Agreement, setting it aside as a registered agreement under the Fair Work Act 2009. The agreement will now apply to the employees of Midland Brick, and it will be binding on both the employer and the employees.

Boral Bricks Western Australia Pty Ltd t/a Midland Brick

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established