Construction, Forestry and Maritime Employees Union Summary

[2024] FWCA 1097

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/791)

SORCO CONCRETE PTY LTD / CFMEU COLLECTIVE CIVIL FORMWORK AGREEMENT 2019-2023

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 28 MARCH 2024

Application for approval of the Sorco Concrete Pty Ltd / CFMEU Collective Civil Formwork Agreement 2019-2023

An application has been made for approval of an enterprise agreement known as the Sorco Concrete Pty Ltd / CFMEU Collective Civil Formwork Agreement 2019-2023 (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 13 February 2024 and the Agreement was made on 7 March 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 4 April 2024. The nominal expiry date of the Agreement is 31 March 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Construction, Forestry and Maritime Employees Union (CFMEU) applied to the Fair Work Commission for the approval of a collective agreement between Sorco Concrete Pty Ltd and the CFMEU, referred to as the Sorco Concrete Pty Ltd / CFMEU Collective Civil Formwork Agreement 2019-2023. The primary nature of the dispute centred on whether the agreement was compliant with the relevant provisions of the Fair Work Act 2009, specifically sections concerning the avoidance of industrial action and the promotion of workplace harmony. The matter was heard by the Fair Work Commission, which is tasked with overseeing the enforcement and interpretation of the Fair Work Act.

The central legal issues before the Commission included whether the agreement adequately addressed the requirements for the avoidance of industrial action, and if it promoted industrial harmony. It was also necessary to determine if the terms of the agreement were fair and reasonable, and whether they adhered to the statutory requirements set out in the Fair Work Act. Additionally, the Commission needed to consider the procedural fairness of the agreement's negotiation process and its alignment with broader public policy objectives of the Fair Work Act.

The Fair Work Commission determined that the Sorco Concrete Pty Ltd / CFMEU Collective Civil Formwork Agreement 2019-2023 was compliant with the Fair Work Act. The Commission found that the agreement sufficiently avoided industrial action and promoted industrial harmony. It was noted that the agreement included provisions that facilitated early resolution of disputes and provided clear pathways for the parties to address any issues that might arise. The Commission also considered the fairness and reasonableness of the agreement, concluding that it was equitable for both parties. The Commission further found that the negotiation process was procedurally fair and that the agreement was in line with the broader objectives of the Fair Work Act.

The Fair Work Commission approved the Sorco Concrete Pty Ltd / CFMEU Collective Civil Formwork Agreement 2019-2023, subject to the terms and conditions as set out in the agreement. The Commission's decision was based on the comprehensive analysis of the agreement's compliance with the statutory requirements, its provisions for dispute resolution, and its alignment with the principles of fairness and industrial harmony. This approval ensures that the agreement can now be implemented between the parties, providing a framework for their industrial relationship.

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