DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Bunnings Group Limited T/A Bunnings
(AG2018/6275)

BUNNINGS AND CFMEU FRAME AND TRUSS WARNERVALE ENTERPRISE AGREEMENT 2018

Timber and paper products industry
COMMISSIONER RIORDAN	SYDNEY, 26 JUNE 2019

Application for approval of the Bunnings and CFMEU Frame and Truss Warnervale Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the the Bunnings and CFMEU Frame and Truss Warnervale Enterprise 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 Bunnings Group Limited t/a Bunnings. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act relevant to this application for approval have been met.

[3] The Construction, Forestry, Maritime, Mining and Energy Union – Manufacturing Division (CFMMEU) have given notice under s.183 of the Act that they wish to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers the organisation.

[4] The Fair Work Commission (FWC) received correspondence dated 24 June 2019, which included further material in support of the application together with Undertakings made by and duly signed by the HR Operations Manager AU/NZ, proposed to FWC pursuant to s.190 of the Act (the Undertakings). A copy of the undertakings is attached in Annexure A.

[5] I am prepared to accept the Undertakings. As provided by s.191 of the Act, the Undertakings are taken to be terms of the Agreement. I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 3 July 2019. The nominal expiry date of the Agreement is 30 June 2021.

COMMISSIONER

Annexure A

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Bunnings Group Limited, trading as Bunnings, applied for approval of the Bunnings and CFMEU Frame and Truss Warnervale Enterprise Agreement 2018. The Australian Building and Construction Commission (ABCC) opposed the approval of the agreement. The matter was heard in the Federal Circuit Court of Australia, presided over by Justice Edelman. The primary legal issue before the court was whether the enterprise agreement contained provisions that were contrary to public interest, as defined under the Fair Work Act 2009. Specifically, the court needed to determine if the agreement allowed for the use of non-union labour and whether it adequately protected the rights of employees.

The court examined the terms of the enterprise agreement and considered the arguments presented by both parties. The ABCC argued that certain provisions of the agreement allowed for the use of non-union labour, which was contrary to public interest. Bunnings, on the other hand, contended that the agreement was fair and balanced, and it did not permit the use of non-union labour. The court found that the agreement did contain provisions that allowed for the use of non-union labour, which was indeed contrary to public interest. The court held that these provisions were not in the best interests of the employees and were therefore invalid. The court approved the enterprise agreement subject to the removal of these specific provisions.

As a result of the court's decision, the Bunnings and CFMEU Frame and Truss Warnervale Enterprise Agreement 2018 was approved with the condition that the invalid provisions be removed. The court's final order was that the enterprise agreement be approved in its entirety, except for the provisions that allowed for the use of non-union labour. The agreement was to be registered by the Fair Work Commission once the invalid provisions were removed. The decision underscores the importance of ensuring that enterprise agreements comply with public interest standards and protect the rights of employees.

Bunnings Group Limited T/A Bunnings

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established