Construction, Forestry and Maritime Employees Union Summary

[2024] FWCA 1829

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/1547)

PCP SOLUTIONS PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2023–2027

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 21 MAY 2024

Application for approval of the PCP Solutions Pty Ltd and CFMEU Union Collective Agreement 2023–2027

An application has been made for approval of an enterprise agreement known as the PCP Solutions 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 the 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 8 April 2024 and the Agreement was made on 30 April 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 28 May 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

The Construction, Forestry and Maritime Employees Union sought approval for a proposed collective agreement with PCP Solutions Pty Ltd for the period 2023–2027. The Fair Work Commission, as the relevant authority, was tasked with determining whether the proposed agreement should be approved. The dispute arose from the union's application to the Commission for the collective agreement's approval, following negotiations between the parties. The union argued that the agreement met the statutory criteria and was in the interests of fair and equitable industrial relations.

The Commission considered several legal issues, primarily focusing on whether the proposed agreement complied with the Fair Work Act 2009 and its regulations. Key aspects included the agreement's adherence to the criteria for approval, its compliance with the "better off overall test" and "no disadvantage test," and whether it was consistent with the principles of good faith bargaining. The Commission also examined whether the agreement contained provisions that were necessary or appropriate to regulate the employment relationship effectively and fairly.

In delivering its decision, the Commission examined the evidence presented by both parties and the provisions of the proposed agreement. It found that the agreement met the statutory criteria for approval, including the better off overall and no disadvantage tests. The Commission noted that the agreement provided for reasonable terms and conditions that were fair and equitable, and it was in line with the principles of good faith bargaining. The provisions were deemed necessary and appropriate to regulate the employment relationship effectively and fairly.

The Commission approved the proposed agreement, finding it met the necessary statutory criteria and was in the interests of fair and equitable industrial relations. The union's application for approval of the PCP Solutions Pty Ltd and CFMEU Union Collective Agreement 2023–2027 was accordingly granted. The approval was contingent upon the agreement being registered with the Fair Work Commission within the specified timeframe.

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