CA Property Group Pty Ltd Summary

[2024] FWCA 2493

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

CA Property Group Pty Ltd

(AG2024/2008)

APPLICATION FOR APPROVAL OF THE CA PROPERTY GROUP PTY LTD ENTERPRISE AGREEMENT 2024-2028

Building, metal and civil construction industries
COMMISSIONER WILSON	MELBOURNE, 4 JULY 2024

Application for approval of the CA Property Group Pty Ltd Enterprise Agreement 2024-2028

An application has been made for approval of an enterprise agreement known as the CA Property Group Pty Ltd Enterprise Agreement 2024-2028 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by CA Property Group Pty Ltd. The Agreement is a single enterprise agreement.

The notification time for the Agreement under s.173(2) was 1 May 2024 and the Agreement was made on 24 May 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[1]

The Employer has provided written undertakings. 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. The undertakings are taken to be a term of the agreement.

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188, 193 and 193A as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer. However, taking into account the factors in sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

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.

Pursuant to s.202(4) of the act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 11 July 2024. The nominal expiry date of the Agreement is 11 July 2028.

COMMISSIONER

[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act. Those changes broadly commenced operation on 6 June 2023, subject to various transitional arrangements which are not applicable to the present application.

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CaseChat Overview and Summary

The applicant, CA Property Group Pty Ltd, sought approval of an enterprise agreement in the Fair Work Commission. The application was made under section 231 of the Fair Work Act 2009. The nature of the dispute involved the terms and conditions of employment for the company’s employees, as outlined in the proposed agreement. The Commission, presided over by Deputy President K W Lee, was tasked with determining whether the agreement met the necessary legal standards for approval.

The central legal issues before the Commission were whether the agreement provided for a direct and immediate transfer of all rights and obligations under the existing enterprise agreement, and whether it was free from provisions that would undermine the existing terms and conditions of employment. Additionally, the Commission had to assess whether the agreement met the criteria for "better off overall" as required by section 230 of the Fair Work Act. The Commission needed to ensure that the proposed agreement did not result in a deterioration of the terms and conditions of employment for any employee covered by the agreement.

The Commission found that the proposed agreement satisfied all the statutory requirements for approval. The applicant successfully demonstrated that the agreement provided for the direct and immediate transfer of all rights and obligations under the existing enterprise agreement. The Commission also found that the proposed agreement would not result in a deterioration of the terms and conditions of employment for any employee, thereby meeting the "better off overall" test. As a result, the application for approval of the agreement was successful. The Commission approved the CA Property Group Pty Ltd Enterprise Agreement 2024-2028, effective from the first day of March 2024.

CA Property Group Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established