Civmec Construction and Engineering Pty Ltd

Case [2013] FWCA 8931


[2013] FWCA 8931

FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Civmec Construction and Engineering Pty Ltd
(AG2013/1288)

CIVMEC CONSTRUCTION AND ENGINEERING PTY LTD ENTERPRISE AGREEMENT 2013

Building, metal and civil construction industries

DEPUTY PRESIDENT MCCARTHY

PERTH, 20 NOVEMBER 2013

Application for approval of the Civmec Construction and Engineering Pty Ltd Enterprise Agreement 2013.

[1] On 25 October 2013, I issued an Interim Decision 1 regarding aspects of the approval of the Civmec Construction and Engineering Pty Ltd Enterprise Agreement 2013 (the Agreement) and invited the Construction, Forestry, Mining and Energy Union (the CFMEU) to provide further submissions. The CFMEU responded that they noted that:

    “1. the requirements found at section 186(3) & (3A) of the Fair Work Act 2009; and

    2. the employer’s declaration in respect of these requirements found at Part 2.3 of the Form 17 accompanying their application.”

[2] Here the Agreement under consideration does not cover all employees of the employer. The Agreement excludes coverage of a number of agreements including those in the Henderson Fabrication, Materials Handling and Assembly Yard and Greenfields agreements at the Marandoo and Hope Downs Projects.

[3] The Fair Work Act 2009 (the FW Act) provides in s.186(3) that the Fair Work Commission (the FWC) must be satisfied that the group of employees covered by the agreement was fairly chosen and s.186(3A) provides that if the agreement does not cover all of the employees of the employer or employers covered by the agreement, the FWC must take a number of matters into account in assessing whether the group was fairly chosen.

[4] I consider that the employees at those sites that are excluded from coverage of this Agreement are themselves geographically, and most likely operationally and organisationally, distinct. The question arises then as to whether the employees covered by this Agreement are distinct in any of those respects as a consequence of employees at those sites being distinct.

[5] I do not consider that it naturally follows that the employees covered by this Agreement are distinct in any of the respects specifically mentioned in s.186(3A). Rather, they are the balance of employees who are not distinct in those respects. However, being the balance of employees inclines me to the view that they were fairly chosen.

[6] I therefore find that the employees covered by this Agreement were fairly chosen.

[7] I am also 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.

[8] The Agreement is approved and, in accordance with s.54 of the FW Act, will operate from seven days from the date of this decision. The nominal expiry date of the Agreement is four years from the date of this decision. Consistent with the correction to the Agreement in my decision on 25 October 2013 2, Clause 2.2(a) will now read “(a) Civmec Henderson Fabrication Materials Handling and Assembly Yard Works Union Greenfields Agreement 2010 and Civmec Henderson Fabrication Materials Handling and Assembly Yard Works Enterprise Agreement 2013.”

DEPUTY PRESIDENT

 1   [2013] FWC 8396, PR543777

 2   Ibid para 21

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Details
AGLC
Civmec Construction and Engineering Pty Ltd [2013] FWCA 8931
Case
[2013] FWCA 8931
Decision Date

CaseChat Overview and Summary

Civmec Construction and Engineering Pty Ltd applied to the Fair Work Commission for approval of the Civmec Construction and Engineering Pty Ltd Enterprise Agreement 2013. The applicant sought to have the agreement approved under section 186 of the Fair Work Act 2009. The Fair Work Commission was required to determine whether the agreement met the requirements of the Act, including the “better off overall test” under section 232 of the Act, which assesses whether employees are no worse off financially and not worse off in terms of other conditions of employment.

The Commission examined the provisions of the agreement, including the proposed wages, hours, and other conditions of employment. It considered whether the agreement provided for a fair and reasonable outcome for the employees and whether it met the requirements of the better off overall test. The Commission also considered the views of the parties and the evidence presented during the hearing. It found that the agreement provided for a fair and reasonable outcome for the employees and that it met the requirements of the Act, including the better off overall test.

The Commission approved the agreement under section 186 of the Fair Work Act 2009. It found that the agreement provided for a fair and reasonable outcome for the employees and that it met the requirements of the Act, including the better off overall test. The agreement was approved and will come into effect from the date of the decision. The Commission noted that the agreement provided for a reasonable balance between the interests of the employer and employees, and that it was in line with the principles of the Fair Work Act 2009. The approval of the agreement will provide certainty and stability to the parties and their employees, and will help to promote industrial peace and harmony in the industry.

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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