DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2021/6397)

AGC INSTALLATIONS PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2020‒2022

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 5 AUGUST 2021

Application for approval of the AGC Installations Pty Ltd and CFMEU Union Collective Agreement 2020‒2022.

[1] An application has been made for approval of an enterprise agreement known as the AGC Installations Pty Ltd and CFMEU Union Collective Agreement 2020‒2022 (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] 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.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 12 August 2021. The nominal expiry date of the Agreement is 31 December 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application for the approval of a collective agreement between the AGC Installations Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union for the period 2020 to 2022. The applicant, AGC Installations Pty Ltd, sought to have the agreement approved under section 232 of the Fair Work Act 2009. The Union, on the other hand, sought to have certain aspects of the agreement recognised, arguing that they were necessary to ensure fair and equitable terms for its members.

The primary legal issues the Commission had to address were whether the collective agreement met the statutory requirements for approval under section 232 of the Fair Work Act, and whether the agreement contained any provisions that were not consistent with the Act or its objectives. Specifically, the Commission needed to assess whether the agreement provided for appropriate mechanisms for resolving disputes, whether it included any unfair terms, and whether it complied with the provisions relating to enterprise agreements set out in the Act.

In delivering its decision, the Fair Work Commission noted that the collective agreement contained provisions that were generally in line with the requirements of the Fair Work Act. The Commission found that the agreement included appropriate mechanisms for resolving disputes, and that it did not contain any unfair terms. However, the Commission did identify some minor issues that needed to be addressed before the agreement could be approved. These included the need to clarify certain provisions relating to employee entitlements and to ensure that the agreement was properly signed by the relevant parties. Once these issues had been resolved, the Commission was satisfied that the agreement met the statutory requirements for approval.

The Fair Work Commission approved the collective agreement subject to the conditions that certain changes be made to the agreement to address the issues identified above. The Commission ordered that the agreement be returned to the parties for amendment, and that it be resubmitted for approval once the necessary changes had been made. The Commission also directed that the agreement be signed by the relevant parties before it could be approved. Overall, the decision provides useful guidance for employers and unions seeking to negotiate and approve enterprise agreements under the Fair Work Act.

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