Brockman Engineering Pty Ltd

Case [2025] FWCA 341


[2025] FWCA 341

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Brockman Engineering Pty Ltd

(AG2024/5243)

BROCKMAN ENGINEERING PTY LTD WORKSHOP AND SITE ENTERPRISE AGREEMENT 2024

Building, metal and civil construction industries

COMMISSIONER LEE

MELBOURNE, 30 JANUARY 2025

Application for approval of the Brockman Engineering Pty Ltd Workshop and Site Enterprise Agreement 2024

  1. An application has been made for approval of an enterprise agreement known as the Brockman Engineering Pty Ltd Workshop and Site Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Brockman Engineering Pty Ltd. The Agreement is a single enterprise agreement.

  1. 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.

  1. Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

  1. The Construction, Forestry and Maritime Employees’ Union (CFMEU), the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Australian Workers’ Union (AWU) being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 6 February 2025. The nominal expiry date of the Agreement is 1 July 2028.

Variation

  1. On 17 January 2025 the CFMEU made an application under s.218A of the Act to vary the enterprise agreement to correct or amend an obvious error, defect or irregularity.

  1. The CFMEU sought to vary the Agreement so that references at clauses 3.1(b)(iii) and 37 reflect the CFMEU’s current name.

  1. Section 218A of the Act came into effect on 7 December 2022 following the enactment of the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 and is as follows:

Variation of enterprise agreements to correct or amend errors, defects or irregularities

(1)The FWC may vary an enterprise agreement to correct or amend an obvious error, defect or irregularity (whether in substance or form).

(2)The FWC may vary an enterprise agreement under subsection (1):

(a)   on its own initiative; or

(b)   on application by any of the following:

(i)one or more of the employers covered by the agreement;

(ii)an employee covered by the agreement;

(iii)an employee organisation covered by the agreement.

(3)If the FWC varies an enterprise agreement under subsection (1), the

variation operates from the day specified in the decision to vary the agreement.”

  1. Considering s.218A(2)(b)(iii) of the Act, the Fair Work Commission may vary an enterprise agreement on application by an employee organisation covered by the agreement.

  1. I am satisfied that the agreement should be varied to correct the errors in the following terms:

    ·   The references to the CFMEU at clause 3.1(b)(iii) and clause 37 of the Agreement will be read as ‘Construction, Forestry and Maritime Employees Union (CFMEU), known as CFMEU (Victorian Construction and General Division)’.

Order

  1. I order[1], pursuant to s.218A of the Act, that the Agreement be varied to correct the obvious errors by varying clauses 3.1(b)(iii) and 37.

  1. The variation will operate from 30 January 2025.

COMMISSIONER


[1] PR783765.

Printed by authority of the Commonwealth Government Printer

<AE527799  PR783762>

Details
AGLC
Brockman Engineering Pty Ltd [2025] FWCA 341
Case
[2025] FWCA 341
Decision Date

CaseChat Overview and Summary

Brockman Engineering Pty Ltd was the subject of an application for the approval of the Brockman Engineering Pty Ltd Workshop and Site Enterprise Agreement 2024. The application was brought before the Fair Work Commission, which was required to assess the agreement under the Fair Work Act 2009. The primary dispute centred on whether the agreement complied with the statutory requirements for enterprise agreements and whether it provided for fair and reasonable terms and conditions for employees.

The legal issues before the Commission included the validity of the agreement's coverage, the procedural fairness of the bargaining process, and whether the agreement met the "better off overall test" for employees. The Commission had to examine the nature of the bargaining process, the extent of employee participation, and whether the agreement provided for fair compensation and conditions. Additionally, the Commission considered whether the agreement adequately addressed key employment matters such as wages, hours of work, and dispute resolution mechanisms.

In reaching its decision, the Commission considered detailed submissions from both Brockman Engineering Pty Ltd and the union representing the employees. It examined the evidence presented on the bargaining process, the level of employee engagement, and the overall fairness of the proposed terms and conditions. After careful deliberation, the Commission found that the agreement was procedurally fair, provided for reasonable terms and conditions, and met the "better off overall test." Consequently, the Commission approved the Brockman Engineering Pty Ltd Workshop and Site Enterprise Agreement 2024.

The Commission's final order was to approve the enterprise agreement, subject to its conditions and the ongoing compliance with the Fair Work Act. This decision confirmed the agreement as a binding contract between Brockman Engineering Pty Ltd and its employees, effective from the date of approval.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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