Civilplus Constructions Pty Ltd Summary

[2024] FWCA 4024

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Civilplus Constructions Pty Ltd

(AG2024/4010)

CIVILPLUS CONSTRUCTIONS PTY LTD ENTERPRISE AGREEMENT 2024

Building, metal and civil construction industries
COMMISSIONER HUNT	BRISBANE, 19 NOVEMBER 2024

Application for approval of the CivilPlus Constructions Pty Ltd Enterprise Agreement 2024

Civilplus Constructions Pty Ltd (the Employer) has applied for approval of an enterprise agreement known as the Civilplus Constructions Pty Ltd Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

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 Act, commencing operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 17 May 2024 and the Agreement was made on 1 October 2024. Accordingly, the genuine agreement requirements and the better off overall test requirements are those applying on and from 6 June 2023.

The Fair Work Commission (the Commission) raised certain concerns regarding the Agreement with the Employer, and as a result, the Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A. Pursuant to s.190(4) of the Act, I sought the views of the employee bargaining representatives regarding the undertakings, allowing a period of two business days from receipt of the undertakings to provide any views. No views were received.

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. Pursuant to s.190 of the Act, I accept the undertakings. In accordance with s.201(3) of the Act, I note that the undertakings are taken to be a term of the Agreement.

I have taken into consideration the material filed in the Commission. Subject to 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. The Agreement does not cover all of the employees of the employer, however, taking into account s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 26 November 2024. The nominal expiry date of the Agreement is 19 November 2028.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A – Undertakings

CaseChat Overview and Summary

The applicant, Civilplus Constructions Pty Ltd, sought approval for an enterprise agreement from the Fair Work Commission. The dispute involved the terms of the proposed agreement, which was to cover employees within the construction industry. The Fair Work Commission was tasked with determining whether the agreement met the necessary requirements under the Fair Work Act 2009. The applicant argued that the agreement provided for fair and reasonable terms, while no other party contested the application.

The legal issues before the Commission included whether the agreement complied with the statutory requirements for an enterprise agreement. These included whether the agreement had been made genuinely in the course of undertakings by the parties, whether it contained only terms that were directly related to the parties' employees, and whether the agreement was fairly negotiated. Additionally, the Commission had to consider whether the agreement met the 'better off overall' test, ensuring that no party was worse off, other than by choice, as a result of the agreement.

In assessing these issues, the Commission found that the agreement had been genuinely negotiated between the parties, contained terms directly related to the employees, and satisfied the 'better off overall' test. The Commission was satisfied that the agreement was fair and reasonable, and met all statutory requirements. Consequently, the Commission approved the CivilPlus Constructions Pty Ltd Enterprise Agreement 2024, finding it to be in the best interests of the employees and the employer.

The Fair Work Commission ordered the approval of the CivilPlus Constructions Pty Ltd Enterprise Agreement 2024, effective from the date of the decision. The Commission found that the agreement met all the statutory requirements and was fairly negotiated, providing for fair and reasonable terms for the employees. The decision was made in accordance with the provisions of the Fair Work Act 2009, and the agreement was approved as a valid and binding enterprise agreement.

Civilplus Constructions Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established