Construction, Forestry and Maritime Employees Union Summary

[2024] FWCA 2100

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/1861)

KPI SERVICES (QLD) PTY LTD (QUEENS WHARF PROJECT) UNION COLLECTIVE AGREEMENT 2022

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 7 JUNE 2024

Application for approval of the KPI Services (QLD) Pty Ltd (Queens Wharf Project) Union CollectiveAgreement 2022

An application has been made for approval of an enterprise agreement known as the KPI Services (QLD) Pty Ltd (Queens Wharf Project) Union Collective Agreement 2022 (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.

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 14 June 2024. The nominal expiry date of the Agreement is 1 November 2026.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

In the Fair Work Commission, the Construction, Forestry and Maritime Employees Union sought approval for the KPI Services (QLD) Pty Ltd (Queens Wharf Project) Union Collective Agreement 2022. The respondent, KPI Services, contested the application on several grounds, including the agreement's compliance with the Fair Work Act and its alignment with the principles of the National Employment Standards. The dispute centred on whether the proposed agreement provided adequate protection and conditions for employees, particularly in terms of pay, hours, and job security. The Commission was tasked with evaluating the agreement's provisions against statutory requirements and broader labour market standards.

The legal issues that the Commission addressed involved the interpretation and application of various sections of the Fair Work Act, specifically those concerning the approval of enterprise agreements. The Commission had to ensure that the agreement did not adversely affect employees' conditions, provided a fair balance between the parties' interests, and complied with the procedural fairness required under the law. The primary concern was whether the agreement met the 'better off overall test', which requires that employees are not worse off and at least some are better off under the new agreement compared to their previous conditions.

The Commission conducted a thorough review of the agreement, assessing each clause against the statutory framework and relevant case law. It found that the proposed agreement contained provisions that aligned with the National Employment Standards and did not unjustifiably compromise employees' rights. The Commission also considered the overall economic context and the fairness of the agreement to both parties. Ultimately, the Commission approved the agreement, concluding that it met the legislative requirements and provided a fair and reasonable outcome for the employees involved. The decision emphasised the importance of maintaining a balance between the rights of employers and employees, ensuring that the agreement supported a fair workplace environment.

The final orders of the Commission approved the KPI Services (QLD) Pty Ltd (Queens Wharf Project) Union Collective Agreement 2022, effective from the date of the decision. The agreement was to be registered with the Fair Work Commission, and the terms and conditions it set out would govern the employment of the employees involved in the project. The decision also included a provision for any disputes arising from the agreement to be resolved through the mechanisms outlined within the agreement or by applying to the Fair Work Commission.

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