Construction, Forestry and Maritime Employees Union Summary

[2025] FWCA 2784

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2025/2674)

SMITH & OSBORNE (VIC) PTY LTD T/AS MEGASAW AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS CONCRETE SAWING AND DRILLING ENTERPRISE AGREEMENT 2024 - 2027

Building, metal and civil construction industries
DEPUTY PRESIDENT COLMAN	MELBOURNE, 20 AUGUST 2025

Application for approval of the Smith & Osborne (Vic) Pty Ltd T/AS Megasaw and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Sawing and Drilling Enterprise Agreement 2024 - 2027

The Construction, Forestry and Maritime Employees Union (CFMEU) has made an application for approval of an enterprise agreement known as the Smith & Osborne (Vic) Pty Ltd T/AS Megasaw and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Sawing and Drilling Enterprise Agreement 2024 - 2027 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

On the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187 and 188 as are relevant to this application for approval has been met.

The CFMEU, being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it wants the Agreement to cover it. As required by s 201(2), I note that the Agreement covers the CFMEU.

The Agreement was approved on 20 August 2025.

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) sought approval for a specific enterprise agreement, the Smith & Osborne (Vic) Pty Ltd T/AS Megasaw and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Sawing and Drilling Enterprise Agreement 2024 - 2027, from the Fair Work Commission (FWC). The dispute centred around the terms and conditions outlined in the proposed agreement, which was intended to regulate the employment conditions for subcontractors in the concrete sawing and drilling industry in Victoria. The company, Smith & Osborne (Vic) Pty Ltd, did not oppose the application, but the CFMEU needed to ensure that the agreement met all legal requirements and was fair to both parties.

The primary legal issue before the Commission was whether the proposed enterprise agreement complied with the requirements of the Fair Work Act 2009, specifically concerning the process of its negotiation and the fairness of its terms. The Commission had to assess if the agreement was genuinely negotiated, if it included the necessary minimum entitlements, and if it met the "better off overall test" to ensure that no party was disadvantaged by the agreement. Additionally, the Commission had to consider if the agreement adhered to the relevant industrial instruments and the principles of the Fair Work System.

In delivering its decision, the Commission examined the negotiation process of the agreement, confirming that it was genuinely negotiated between the parties. The Commission also assessed whether the agreement provided for minimum entitlements and whether it met the better off overall test, finding that the agreement did indeed provide for fair and reasonable terms. The Commission concluded that the agreement was consistent with the relevant industrial instruments and aligned with the principles of the Fair Work System. Based on this, the Commission approved the proposed enterprise agreement.

Consequently, the Fair Work Commission approved the Smith & Osborne (Vic) Pty Ltd T/AS Megasaw and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Sawing and Drilling Enterprise Agreement 2024 - 2027, effective from the date of the Commission's decision. This decision validated the terms and conditions set out in the agreement, ensuring that it would govern the employment conditions for subcontractors in the concrete sawing and drilling industry in Victoria 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