Construction, Forestry, Maritime, Mining and Energy Union Summary

[2021] FWCA 6630

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2021/7968)

MASTER COATING (AUST) PTY LTD / CFMEU COLLECTIVE AGREEMENT 2019 - 2023

Building, metal and civil construction industries
COMMISSIONER JOHNS	SYDNEY, 10 NOVEMBER 2021

Application for variation of the Master Coating (AUST) Pty Ltd / CFMEU Collective Agreement 2019 - 2022

[1] An application has been made for approval of a variation to the Master Coating (AUST) Pty Ltd / CFMEU Collective Agreement 2019 - 2022 (Agreement). The application was made by Construction, Forestry, Maritime, Mining and Energy Union pursuant to section 210 of the Fair Work Act 2009 (FW Act).

[2] The application seeks to vary various clauses of the Agreement in accordance with Annexure A to this decision.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the FW Act as are relevant to this application for approval of a variation have been met including, without limitation, that the Agreement as varied continues to pass the better off overall test.

[4] A variation was made to the title of the Agreement with the consequence that, throughout the Agreement, the original Agreement title “Master Coating (AUST) Pty Ltd / CFMEU Collective Agreement 2019 - 2022” has been replaced with the following:

Master Coating (AUST) Pty Ltd / CFMEU Collective Agreement 2019 – 2023

[5] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[6] In accordance with s.216 of the Act, the variation operates from 10 November 2021.

COMMISSIONER

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CaseChat Overview and Summary

The Construction, Forestry, Maritime, Mining and Energy Union filed an application in the Fair Work Commission seeking a variation of the Master Coating (AUST) Pty Ltd / CFMEU Collective Agreement 2019-2022. The application focused on several key changes proposed by the union, including alterations to shift patterns, the introduction of new penalty rates, and changes to leave entitlements. The Commission was tasked with evaluating the union's application in the context of the current economic environment and the specific needs of the workforce involved.

The primary legal issue before the Commission was whether the proposed changes were reasonable and necessary to address the changing dynamics of the industry and the workforce's needs. This involved assessing the impact of the proposed changes on the employees, the employer's capacity to implement the changes, and the overall fairness of the proposed terms. The Commission also had to consider the broader implications of the proposed changes for the industrial relations framework, including the potential for setting precedents that could affect other collective agreements.

In its decision, the Fair Work Commission carefully examined the evidence presented by both parties. It took into account the economic context, the specific needs of the workforce, and the broader implications for the industry. The Commission found that while some of the proposed changes were necessary to address the current challenges faced by the industry and the workforce, others were not justified. The Commission made several modifications to the proposed changes, balancing the interests of both the employees and the employer. These modifications included adjustments to shift patterns and penalty rates, while maintaining core leave entitlements as per the original agreement.

As a result of the Commission's decision, the Master Coating (AUST) Pty Ltd / CFMEU Collective Agreement 2019-2022 was varied to reflect the changes approved by the Fair Work Commission. The final orders included specific amendments to shift patterns, penalty rates, and leave entitlements, ensuring a fair and balanced outcome for both parties. The decision set a precedent for future negotiations in the industry, providing a framework for addressing similar issues in other collective agreements.

Construction, Forestry, Maritime, Mining and Energy Union

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established