Construction, Forestry and Maritime Employees Union Summary

[2024] FWCA 552

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/182)

TOMKINS COMMERCIAL & INDUSTRIAL BUILDERS PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2023–2027

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 12 FEBRUARY 2024

Application for approval of the Tomkins Commercial & Industrial Builders PTY LTD and CFMEU Union Collective Agreement 2023-2027

An application has been made for approval of an enterprise agreement known as the Tomkins Commercial & Industrial Builders 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 7 December 2023 and the Agreement was made on 18 January 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 19 February 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 this case, the Construction, Forestry and Maritime Employees Union (CFMEU) applied for the approval of the Tomkins Commercial & Industrial Builders Pty Ltd and CFMEU Union Collective Agreement 2023-2027. The application was heard by the Fair Work Commission, and the primary focus was on determining whether the agreement met the necessary legal standards and whether it was fair and reasonable in all its terms. The dispute arose from the negotiation process between the union and the employer, with concerns raised about the fairness and appropriateness of the terms within the proposed agreement.

The legal issues before the court were centered on whether the collective agreement was genuinely negotiated, free from any improper influence or duress, and if it complied with the requirements of the Fair Work Act 2009. The court had to assess if the agreement covered all necessary aspects, including wages and conditions, and if it provided a fair and equitable outcome for both the employer and the employees represented by the union. Additionally, the court examined whether the agreement adhered to the principles of good faith bargaining and did not include any terms that were unreasonable or discriminatory.

The Fair Work Commission thoroughly reviewed the negotiation process and the content of the collective agreement. The Commission determined that the agreement was genuinely negotiated and did not contain any terms that were unreasonable or unfair. The Commission found that the agreement was comprehensive, covering all necessary aspects and providing a balanced outcome for both parties. The Commission also noted that the union and the employer had demonstrated a genuine effort to reach a fair agreement through the bargaining process. Based on this assessment, the Commission approved the collective agreement, confirming its compliance with the legal standards and its fairness in terms of wages and conditions.

The final orders of the Commission were that the Tomkins Commercial & Industrial Builders Pty Ltd and CFMEU Union Collective Agreement 2023-2027 was approved and would be registered with the Fair Work Commission. This decision validated the agreement and ensured that it would be legally binding between the union and the employer for the specified period.

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