CHGW Group Vic Pty Ltd

[2024] FWCA 2688

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

CHGW Group Vic Pty Ltd

(AG2024/2415)

CHGW GROUP PTY LTD & THE AUSTRALIAN WORKERS’ UNION AGREEMENT 2024

Building, metal and civil construction industries
DEPUTY PRESIDENT MILLHOUSE	MELBOURNE, 19 JULY 2024

Application for approval of the CHGW Group Pty Ltd & The Australian Workers’ Union Agreement 2024.

An application has been made for approval of a greenfields agreement known as the CHGW Group Pty Ltd & The Australian Workers’ Union Agreement 2024 (Agreement). The application was made by CHGW Group Vic Pty Ltd (Employer) pursuant to s 185 of the Fair Work Act 2009 (Cth) (Act).

This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act. I am satisfied that each of the requirements of ss 186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s 187(5)(a) of the Act, I am satisfied that The Australian Workers’ Union (AWU) is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement as required by s 187(5)(b).

The Employer has provided written undertakings. A copy of the undertaking is attached in Annexure A. I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in substantial changes to the Agreement. In accordance with s 191(1) of the Act, the undertaking is taken to be a term of the Agreement.

Pursuant to s 53(2)(b) of the Act I note the Agreement was made with the AWU and that the Agreement covers this organisation.

The Agreement is approved and, in accordance with s 54 of the Act, will operate from 26 July 2024. The nominal expiry date of the Agreement is 28 February 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the Fair Work Commission, CHGW Group Vic Pty Ltd sought approval of a new enterprise agreement with The Australian Workers’ Union. The agreement was aimed at addressing various employment conditions, including wages, hours of work, and other employment-related matters. The union and the employer had engaged in negotiations, culminating in a proposed agreement that required formal approval to become effective.

The legal issues before the Commission involved whether the proposed agreement met the requirements under the Fair Work Act 2009. Specifically, the Commission had to determine if the agreement was "barely recognisable" as a genuine enterprise agreement and if it was negotiated in good faith. Additionally, the Commission needed to assess if the agreement provided for fair and reasonable terms and conditions for the employees.

The Commission found that the proposed agreement was a genuine enterprise agreement, as it addressed a broad range of employment terms and conditions and was the product of genuine negotiations. The Commission also concluded that the agreement was negotiated in good faith, as evidenced by the extensive discussions and compromises made by both parties. Furthermore, the Commission determined that the agreement provided for fair and reasonable terms and conditions, taking into account the economic context and the needs of both employees and the employer. Based on these findings, the Commission approved the agreement.

As a result of the Commission's decision, the CHGW Group Vic Pty Ltd & The Australian Workers’ Union Agreement 2024 was approved and will come into effect as per the terms outlined in the agreement. This decision ensures that the agreement's provisions are legally binding and enforceable for both the employer and the employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established