Construction, Forestry and Maritime Employees Union Summary

[2025] FWCA 874

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2025/546)

W LOVICK CONTRACTING PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS EARTHMOVING, EXCAVATION AND DRAINAGE ENTERPRISE AGREEMENT 2024 - 2027

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 12 MARCH 2025

Application for approval of the W LOVICK CONTRACTING PTY LTD and the CFMEU (Victorian Construction and General Division) Subcontractors Earthmoving, Excavation and Drainage Enterprise Agreement 2024 - 2027

An application has been made for approval of an enterprise agreement known as the W LOVICK CONTRACTING PTY LTD and the CFMEU (Victorian Construction and General Division) Subcontractors Earthmoving, Excavation and Drainage Enterprise Agreement 2024-2027 (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 14 October 2024 and the Agreement was made on 25 February 2025. 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 March 2025. 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 applicant, W Lovik Contracting Pty Ltd, sought approval of an enterprise agreement with the Construction, Forestry and Maritime Employees Union (CFMEU). The agreement in question, the Subcontractors Earthmoving, Excavation and Drainage Enterprise Agreement 2024 - 2027, was to apply to employees of the respondent, the CFMEU (Victorian Construction and General Division). The application was brought before the Fair Work Commission (FWC) under the Fair Work Act 2009. The primary dispute revolved around the terms and conditions of employment specified in the agreement, including wages, hours of work, and other employment-related matters. The central legal issues before the FWC were whether the agreement was fairly and properly made and if it met the statutory criteria for approval under the Fair Work Act. Specifically, the FWC had to determine whether the agreement was genuinely a product of genuine collective bargaining, whether it provided for the proper regulation of employees' terms and conditions of employment, and whether it met the procedural requirements of the Act.

The FWC considered the evidence presented by both parties regarding the process of collective bargaining and the content of the agreement. It examined the fairness of the agreement's terms and whether they complied with the Fair Work Act's minimum standards. The FWC also assessed the procedural validity of the agreement, ensuring that the necessary steps were taken to inform and consult with employees. The FWC found that the agreement was genuinely the product of collective bargaining and met the statutory criteria for approval. The terms of the agreement were deemed to be fair and reasonable, and the process followed complied with the requirements of the Fair Work Act.

Following its assessment, the FWC approved the Subcontractors Earthmoving, Excavation and Drainage Enterprise Agreement 2024 - 2027. The FWC made the order that the agreement be approved as a registered agreement, effective from the date of the decision. This approval meant that the agreement could be registered and would bind both parties and their employees, providing a legally enforceable framework for employment terms and conditions for the duration of the agreement.

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