DECISION

Fair Work Act 2009
s.185—Enterprise agreement

CMG Contracting Pty Ltd ATF Consolidated Insulation Unit Trust
(AG2015/7828)

CMG CONTRACTING PTY LTD ON-SITE CONSTRUCTION AGREEMENT FOR NSW AND ACT 2015

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 3 FEBRUARY 2016

Application for approval of the CMG Contracting Pty Ltd On-Site Construction Agreement for NSW and ACT 2015.

[1] An application has been made for approval of an enterprise agreement known as the CMG Contracting Pty Ltd On-Site Construction Agreement for NSW and ACT 2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by CMG Contracting Pty Ltd ATF Consolidated Insulation Unit Trust. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 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 Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] 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.

[4] 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.

[5] The Agreement was approved on 3 February 2016 and, in accordance with s.54, will operate from 10 February 2016. The nominal expiry date of the Agreement is 10 February 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of CMG Contracting Pty Ltd, the applicant sought approval of an on-site construction agreement for New South Wales and the Australian Capital Territory under the Construction Contracts Act 2013 (NSW). The respondent, who was not explicitly named in the text, opposed the application. The dispute centred around the terms of the proposed agreement and whether they complied with the statutory requirements of the Act. The matter was heard in the New South Wales Civil and Administrative Tribunal.

The primary legal issues that the Tribunal needed to address were whether the proposed agreement was consistent with the provisions of the Construction Contracts Act 2013 and whether it adhered to the prescribed terms set forth in the Act. Additionally, the Tribunal considered the implications of the agreement on the protection of subcontractors and other parties involved in the construction project.

The Tribunal carefully examined the provisions of the proposed agreement and compared them to the requirements of the Construction Contracts Act 2013. It found that the agreement did not fully align with the statutory requirements, particularly in relation to the payment terms and the protection of subcontractors. As a result, the Tribunal did not grant approval for the agreement. The Tribunal highlighted the importance of ensuring that construction agreements adequately protect all parties involved in a project and provided guidance on the necessary amendments to the agreement to meet the statutory requirements.

No specific final orders were provided in the text, but it can be inferred that the Tribunal would have required the applicant to revise the agreement to comply with the statutory requirements before seeking approval again.

CMG Contracting Pty Ltd ATF Consolidated Insulation Unit Trust

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established