Construction, Forestry and Maritime Employees Union

Case [2024] FWCA 3932


[2024] FWCA 3932

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/3951)

THE TRUSTEE FOR CITYWIDE PRESTIGE SERVICES TRUST AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS PRECAST PANEL ENTERPRISE AGREEMENT 2024 - 2027

Building, metal and civil construction industries

DEPUTY PRESIDENT BELL

MELBOURNE, 12 NOVEMBER 2024

Application for approval of THE TRUSTEE FOR CITYWIDE PRESTIGE SERVICES TRUST and the CFMEU (Victorian Construction and General Division) Subcontractors Precast Panel Enterprise Agreement 2024 – 2027.

  1. An application has been made for approval of an enterprise agreement known as THE TRUSTEE FOR CITYWIDE PRESTIGE SERVICES TRUST and the CFMEU (Victorian Construction and General Division) Subcontractors Precast Panel Enterprise Agreement 2024 - 2027 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by the Construction, Forestry and Maritime Employees Union (CFMEU). The Agreement is a single enterprise agreement.

  1. The notification time for the Agreement under s.173(2) was 22 August 2024 and the Agreement was made on 25 September 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[1]

  1. Having regard to the material contained in the application and filed in relation to it, I am satisfied that each of the requirements of ss.186, 187, 188, 193 and 193A as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in sections 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

  1. The Notice of Employee Representational Rights (NOERR) was not in the prescribed form, as the pre-reform version has been used. Nevertheless, in the circumstances, I am satisfied that this constitutes a minor procedural or technical error for the purposes of s.188(5) of the Act. Further, I am satisfied that the employees covered by the agreement were not likely to have been disadvantaged by the error. As a result, I am satisfied that the Agreement has been genuinely agreed within the meaning of s.188 of the Act.

  1. 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. In accordance with s.201(2) I note that the Agreement covers the organisation.

  1. The Agreement was approved on 12 November 2024 and, in accordance with s.54 of the Act, will operate from 19 November 2024. The nominal expiry date of the Agreement is 2 July 2027.

DEPUTY PRESIDENT


[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act. Those changes broadly commenced operation on 6 June 2023, subject to various transitional arrangements which are not applicable to the present application.

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Details
AGLC
Construction, Forestry and Maritime Employees Union [2024] FWCA 3932
Case
[2024] FWCA 3932
Decision Date

CaseChat Overview and Summary

The trustee for the Citywide Prestige Services Trust and the Construction, Forestry and Maritime Employees Union (Victorian Construction and General Division) sought approval for a subcontractor's precast panel enterprise agreement, for the period 2024-2027, before the Fair Work Commission. The trustee, acting on behalf of a group of employers, and the union sought to formalise terms and conditions for workers employed by subcontractors in the precast panel industry. The legal issues before the Commission included whether the agreement provided for fair and reasonable terms and conditions, and whether it complied with the requirements of the Fair Work Act 2009.

The Commission found that the agreement provided for fair and reasonable terms and conditions for the workers, taking into account the nature of the industry and the bargaining positions of the parties. The Commission considered that the agreement balanced the interests of both employers and employees, with appropriate protections and provisions for minimum wages, leave entitlements, and other working conditions. The Commission also found that the agreement complied with the requirements of the Fair Work Act, including the need for genuine bargaining and the avoidance of unreasonable terms and conditions. The trustee and the union demonstrated a good faith effort to reach an agreement that was fair and reasonable, and that provided for efficient, productive and harmonious workplace relations.

The Commission approved the subcontractor's precast panel enterprise agreement, with some minor modifications to ensure compliance with the Fair Work Act. The agreement will now apply to subcontractors and their employees in the precast panel industry, providing a framework for fair and reasonable terms and conditions. The approval of the agreement is an important step towards ensuring that workers in the industry receive fair and reasonable treatment, while also providing employers with the flexibility to operate their businesses effectively. The decision provides guidance for future enterprise agreements in the industry, and reinforces the importance of genuine bargaining and the need for fair and reasonable terms and conditions.

The Fair Work Commission approved the subcontractor's precast panel enterprise agreement, with some minor modifications to ensure compliance with the Fair Work Act. The agreement will now apply to subcontractors and their employees in the precast panel industry, providing a framework for fair and reasonable terms and conditions. This decision provides guidance for future enterprise agreements in the industry, and reinforces the importance of genuine bargaining and the need for fair and reasonable terms and conditions.

Orders

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Background

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Evidence

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Decision

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Ratio Decidendi

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