Construction, Forestry and Maritime Employees Union Summary

[2024] FWCA 2148

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/1959)

COMTEC FLOORS PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2023–2027

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 13 JUNE 2024

Application for approval of the Comtec Floors Pty Ltd and CFMEU Union Collective Agreement 2023-2027

An application has been made for approval of an enterprise agreement known as the Comtec Floors Pty Ltd and CFMEU Union Collective Agreement 2023-2027 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Construction, Forestry and Maritime Employees Union. 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 s.173(2) was 19 April 2024 and the Agreement was made on 30 May 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 ss.186, 187 and 188 as are relevant to this application for approval have been met.

The Construction, Forestry and Maritime Employees Union 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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 20 June 2024. The nominal expiry date of the Agreement is 2 July 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the recent decision of Construction, Forestry and Maritime Employees Union, the Federal Court of Australia was called upon to review and approve a proposed collective agreement between the Comtec Floors Pty Ltd and the Construction, Forestry and Maritime Employees Union (CFMEU) for the period 2023-2027. The application for approval was brought by the union, following negotiations between the parties, and sought the court's endorsement of the agreement as a lawful and fair basis for regulating employment conditions within the industry.

The central legal issues before the court involved the compliance of the collective agreement with the requirements of the Fair Work Act 2009. The court had to determine whether the agreement met the necessary standards of good faith bargaining, covered the permissible topics, and adhered to the principles of procedural fairness and substantive fairness as outlined in the Act. The court also had to consider the implications of any potential inconsistencies with the national employment standards and any broader impact on the employees and the industry.

In delivering the judgment, the court carefully examined the provisions of the proposed agreement against the statutory framework. The court found that the agreement had been reached through genuine and meaningful negotiations, and that it contained provisions that were fair and reasonable in all the circumstances. The court was satisfied that the agreement covered a range of employment matters, including wages, hours of work, and other conditions of employment, and that it did not unjustifiably disadvantage any party. The court concluded that the agreement was consistent with the national employment standards and did not impose any unreasonable restrictions on the rights of the employees. The court therefore approved the collective agreement, endorsing it as a lawful and fair basis for regulating employment conditions between the parties for the specified period. The court's decision was based on a comprehensive assessment of the legal requirements and the practical implications of the agreement for the industry and the workforce.

Construction, Forestry and Maritime Employees Union

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established