Construction, Forestry and Maritime Employees Union Summary

[2024] FWCA 3741

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/3946)

G2K CARPENTRY PTY LTD. AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS CARPENTRY & JOINERY ENTERPRISE AGREEMENT 2024-2027

Building, metal and civil construction industries
DEPUTY PRESIDENT BELL	MELBOURNE, 28 OCTOBER 2024

Application for approval of the G2K CARPENTRY PTY LTD. and the CFMEU (Victorian Construction and General Division) Subcontractors Carpentry & Joinery Enterprise Agreement 2024-2027.

An application has been made for approval of an enterprise agreement known as the G2K CARPENTRY PTY LTD. and the CFMEU (Victorian Construction and General Division) Subcontractors Carpentry & Joinery 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.

The notification time for the Agreement under s.173(2) was 12 July 2024 and the Agreement was made on 1 October 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[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.

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). Further, having regard to the content of the declaration 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.

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.

The Agreement was approved on 28 October 2024 and, in accordance with s.54 of the Act, will operate from 4 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.

Printed by authority of the Commonwealth Government Printer

In the Fair Work Commission, the Construction, Forestry and Maritime Employees Union, along with G2K Carpentry Pty Ltd., sought approval of the Subcontractors Carpentry & Joinery Enterprise Agreement 2024-2027. This agreement was intended to govern the employment terms and conditions of carpentry and joinery subcontractors in the construction industry. The dispute centred on whether the proposed agreement met the requirements for registration under the Fair Work Act 2009, including the compliance with the "better off overall test" and its alignment with the national employment standards.

The court was tasked with examining whether the agreement appropriately balanced the interests of both employees and employers and ensured that the employees were not worse off overall. It was also necessary to determine if the agreement adequately covered the terms and conditions of employment, including minimum rates of pay, penalty rates, leave entitlements, and other relevant provisions. Furthermore, the court needed to verify that the agreement provided a reasonable process for resolving disputes and included necessary provisions for employee representation and consultation.

The Fair Work Commission found that the proposed agreement met the statutory requirements and was consistent with the national employment standards. The agreement provided fair and reasonable terms and conditions that ensured employees were not worse off overall. The court noted the inclusion of provisions for dispute resolution, employee representation, and consultation as significant factors in its decision. The Commission approved the agreement, highlighting the balanced approach it took in addressing the interests of both parties. Consequently, the agreement was registered, effective from the stipulated commencement date.

Construction, Forestry and Maritime Employees Union

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