Construction, Forestry and Maritime Employees Union

[2024] FWCA 4373

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/4654)

COMPLETE TRAFFIC SERVICES (VIC) PTY LTD T/AS CONSTRUCTION CONTRACT LABOUR TRAFFIC AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS TRAFFIC CONTROL ENTERPRISE AGREEMENT 2024-2027

Road transport industry
DEPUTY PRESIDENT MASSON	MELBOURNE, 12 DECEMBER 2024

Application for approval of the COMPLETE TRAFFIC SERVICES (VIC) PTY LTD T/AS CONSTRUCTION CONTRACT LABOUR TRAFFIC and the CFMEU (Victorian Construction and General Division) Subcontractors Traffic Control Enterprise Agreement 2024-2027

An application has been made for approval of an enterprise agreement known as the COMPLETE TRAFFIC SERVICES (VIC) PTY LTD T/AS CONSTRUCTION CONTRACT LABOUR TRAFFIC and the CFMEU (Victorian Construction and General Division) Subcontractors Traffic Control 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 18 June 2024 and the Agreement was made on 12 November 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 December 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 (CFMEU) and Complete Traffic Services (Vic) Pty Ltd, trading as Construction Contract Labour Traffic, sought approval of their Enterprise Agreement 2024-2027 from the Fair Work Commission (FWC). The agreement was intended to cover the employees of Complete Traffic Services who are involved in traffic control services as subcontractors on construction sites. The CFMEU and the company jointly submitted the agreement to the FWC for approval, asserting that it met the requirements for a modern award under the Fair Work Act 2009. The Commission was required to determine if the agreement was consistent with the objects of the Act, including promoting high wages and high levels of employment.

The central legal issue before the FWC was whether the proposed enterprise agreement complied with the statutory criteria set out in section 234 of the Fair Work Act. This included assessing if the agreement provided for fair and reasonable terms and conditions, and if it adhered to the principles of good faith bargaining and industrial action. The FWC also needed to ensure that the agreement did not contravene any existing awards or modern awards, and that it was not detrimental to the employees it was intended to cover.

In considering the application, the FWC examined the terms of the agreement, the bargaining process, and the submissions from both the union and the employer. The FWC found that the agreement was consistent with the objects of the Fair Work Act, providing fair and reasonable terms for the employees. The Commission noted that the agreement addressed key employment issues such as wages, hours of work, and other conditions of employment, and that it had been negotiated in good faith. The FWC concluded that the agreement would not have an adverse effect on the employees it was intended to cover, and approved the agreement accordingly.

The Fair Work Commission approved the COMPLETE TRAFFIC SERVICES (VIC) PTY LTD T/AS CONSTRUCTION CONTRACT LABOUR TRAFFIC and the CFMEU (Victorian Construction and General Division) Subcontractors Traffic Control Enterprise Agreement 2024-2027. This decision was made on the basis that the agreement met the statutory requirements under the Fair Work Act, providing fair and reasonable terms for the employees involved. The agreement was found to be consistent with the objects of the Act and was approved as a modern award.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established