Construction, Forestry and Maritime Employees Union

[2024] FWCA 2590

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/2374)

CENTRAL REO AND CFMEU (WA) STEELFIXERS COLLECTIVE AGREEMENT 2024-2027

Building, metal and civil construction industries
COMMISSIONER SCHNEIDER	PERTH, 11 JULY 2024

Application for approval of the Central Reo and CFMEU (WA) Steelfixers Collective Agreement 2024-2027

The Construction, Forestry and Maritime Employees Union has made an application for the approval of an enterprise agreement known as the Application for approval of the Central Reo and CFMEU (WA) Steelfixers Collective Agreement 2024-2027 (the Agreement). The application was made under section 185 of the Fair Work Act 2009 (Cth) (the Act). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023. The notification time for the Agreement under section 173(2) was 17 May 2024 and the Agreement was made on 14 June 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

I am satisfied that each of the requirements of sections 186, 187, and 188, as are relevant to this application for approval, have been met.

Clause 5 of the Agreement provides that where there is any conflict with the National Employment Standards (NES) and the Agreement the NES will apply to the extent of the inconsistency.

The Construction, Forestry and Maritime Employees Union (the Union), being a bargaining representative for the Agreement, has given notice under section 183 of the Act that it wants the Agreement to cover it. In accordance with section 201(2) of the Act, and based on the declaration provided by the organisation, I note that the Union is covered by the Agreement.

The Agreement is approved and, in accordance with section 54 of the Act, will operate from 18 July 2024. The nominal expiry date of the Agreement is 2 July 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Construction, Forestry and Maritime Employees Union sought approval for a collective agreement between the union and Central Reo, covering steelfixers in Western Australia for the period 2024-2027. The dispute was brought before the Fair Work Commission, which was required to determine whether the agreement met the necessary legal standards for approval under the Fair Work Act 2009. The legal issues centred on whether the agreement complied with the Fair Work Act, particularly in relation to the provisions regarding minimum rates of pay, classification of employees, and procedural fairness. The Commission had to consider if the agreement provided for appropriate minimum wages, if it correctly classified employees, and if the process for reaching the agreement was fair and in accordance with the law.

The Commission examined the agreement clause by clause, focusing on whether it met the statutory requirements. It assessed if the minimum rates of pay were consistent with the award safety net and whether the classification of employees was appropriate and non-discriminatory. The Commission also considered procedural fairness, ensuring that both parties had an opportunity to negotiate and that the process was transparent and free from coercion. After a thorough review, the Commission found that the agreement was compliant with the Fair Work Act, including the minimum wage provisions, classification, and procedural fairness. The Commission approved the agreement, recognising that it met the legal standards set out in the Act.

The Fair Work Commission approved the Central Reo and CFMEU (WA) Steelfixers Collective Agreement 2024-2027, determining that it complied with the Fair Work Act. This decision recognises that the agreement appropriately sets minimum rates of pay, correctly classifies employees, and was achieved through a fair process. The Commission’s approval ensures that the agreement can be implemented, providing a legally binding framework for the employment of steelfixers in Western Australia for the specified period.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established