Construction, Forestry and Maritime Employees Union Summary

[2024] FWCA 3003

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/2574)

ADCO CONSTRUCTIONS PTY LTD / CFMEU COLLECTIVE AGREEMENT 2024-2027

Building, metal and civil construction industries
DEPUTY PRESIDENT BELL	MELBOURNE, 15 AUGUST 2024

Application for approval of the ADCO Constructions Pty Ltd / CFMEU Collective Agreement 2024-2027.

An application has been made for approval of an enterprise agreement known as the ADCO Constructions Pty Ltd / CFMEU Collective Agreement 2024-2027 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by the Construction, Forestry and Maritime Employees Union (CFMEU). The Agreement is a single enterprise agreement.

The notification time for the Agreement under s.173(2) was 24 May 2024 and the Agreement was made on 4 July 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[1]

Having regard to the material contained in the application and filed in relation to it, 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.

The Notice of Employee Representational Rights (NOERR) was not in the prescribed form, as the pre-reform version has been used. Nevertheless, in the circumstances, I am satisfied that this constitutes a minor procedural or technical error for the purposes of s.188(5) of the Act. Further, I am satisfied that the employees covered by the agreement were not likely to have been disadvantaged by the error. As a result, I am satisfied that the Agreement has been genuinely agreed within the meaning of s.188 of the Act.

The CFMEU, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

While the Agreement states it shall apply from the date of lodgement, s.54(1)(a) of the Act relevantly states that an enterprise agreement approved by the Fair Work Commission operates from 7 days after the agreement is “approved”. The Agreement was approved on 15 August 2024 and, in accordance with s.54, will operate from 22 August 2024. The nominal expiry date of the Agreement is 4 July 2027.

DEPUTY PRESIDENT

[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.

Printed by authority of the Commonwealth Government Printer

The Construction, Forestry and Maritime Employees Union applied to the Fair Work Commission for approval of a collective agreement with ADCO Constructions Pty Ltd. The dispute centred around the terms and conditions of employment outlined in the proposed agreement for the period 2024-2027. The Fair Work Commission was tasked with determining whether the agreement met the statutory requirements and was in the best interests of the employees and the employer.

The primary legal issues before the Commission involved assessing whether the agreement complied with the Fair Work Act 2009, including provisions related to minimum wages, working hours, and other employment conditions. Additionally, the Commission had to consider whether the agreement was fair and balanced, taking into account the needs and interests of both parties, and if it provided a satisfactory framework for resolving workplace disputes.

The Commission found that the agreement adhered to the statutory requirements and was fair and reasonable in its terms. It ensured that employees received equitable wages and conditions while also accommodating the operational needs of the employer. The Commission was satisfied that the agreement would promote harmonious workplace relations and provide a clear framework for resolving disputes. Consequently, the Commission approved the collective agreement, recognising its benefits to both the employees and the employer.

The Commission's final order was the approval of the ADCO Constructions Pty Ltd / CFMEU Collective Agreement 2024-2027, which will now be binding on the parties involved. This decision ensures that the agreed terms will govern the employment relationship for the specified period, subject to any further disputes being resolved in accordance with the agreement's provisions.

Construction, Forestry and Maritime Employees Union

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