DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2021/6674)

APPIA PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS EARTHMOVING, EXCAVATION AND DRAINAGE ENTERPRISE AGREEMENT 2020-2023

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 24 AUGUST 2021

Application for approval of the APPIA PTY LTD and the CFMEU (Victorian Construction and General Division) Subcontractors Earthmoving, Excavation and Drainage Enterprise Agreement 2020-2023.

[1] An application has been made for approval of an enterprise agreement known as the APPIA PTY LTD and the CFMEU (Victorian Construction and General Division) Subcontractors Earthmoving, Excavation and Drainage Enterprise Agreement 2020-2023 (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, Maritime, Mining and Energy Union. The Agreement is a single enterprise agreement.

[2] 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.

[3] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[4] The Construction, Forestry, Maritime, Mining and Energy 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 31 August 2021. The nominal expiry date of the Agreement is 30 June 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicants, APPIA PTY LTD and the Construction, Forestry, Maritime, Mining and Energy Union (Victorian Construction and General Division), sought approval for a proposed enterprise agreement, the Subcontractors Earthmoving, Excavation and Drainage Enterprise Agreement 2020-2023. The application was heard in the Fair Work Commission, which was required to determine if the proposed agreement was suitable for registration. The dispute centred around the legality and fairness of the terms of the proposed agreement, particularly in relation to the Fair Work Act 2009.

The key legal issues before the Commission included whether the agreement was appropriately negotiated, if it contained all necessary terms, and if it met the 'better off overall test'. The Commission had to assess whether the agreement provided for a fair and reasonable standard of employment, and if it complied with the provisions of the Fair Work Act. The Commission also needed to consider if the agreement would promote harmonious, productive, and cooperative workplace relations.

In reaching its decision, the Commission noted that the agreement was the result of genuine bargaining between the parties. The terms of the agreement were deemed to be fair and reasonable, providing for a balanced outcome for both employers and employees. The Commission found that the agreement met the better off overall test, as it provided for improvements in pay and conditions for employees without imposing undue hardship on employers. The Commission approved the proposed agreement, finding that it complied with the requirements of the Fair Work Act and would promote harmonious, productive, and cooperative workplace relations.

The Fair Work Commission approved the Subcontractors Earthmoving, Excavation and Drainage Enterprise Agreement 2020-2023, subject to the terms and conditions outlined in the decision. The agreement is now registered, and the parties are bound by its terms, which will govern employment conditions in the relevant industries for the specified period.

Construction, Forestry, Maritime, Mining and Energy Union

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established