DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2021/5742)

THE TRUSTEE FOR TEXCO CONSTRUCTION UNIT TRUST T/AS TEXCO CONSTRUCTION PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) BUILDER ENTERPRISE AGREEMENT 2020-2023

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 2 JULY 2021

Application for approval of the Trustee For TEXCO Construction Unit Trust T/As Texco Construction Pty Ltd and the CFMEU (Victorian Construction and General Division) Builder Enterprise Agreement 2020-2023.

[1] An application has been made for approval of an enterprise agreement known as the Trustee For TEXCO Construction Unit Trust T/As Texco Construction Pty Ltd and the CFMEU (Victorian Construction and General Division) Builder 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 9 July 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

In the Federal Court, the Trustee for TEXCO Construction Unit Trust, trading as Texco Construction Pty Ltd, applied for approval of the Builder Enterprise Agreement 2020-2023 between Texco Construction and the Construction, Forestry, Maritime, Mining and Energy Union (Victorian Construction and General Division). The dispute centred around the validity and fairness of the proposed enterprise agreement under the Fair Work Act 2009. The Union contested certain provisions of the agreement, raising issues about its compliance with the Act and its fairness in relation to the workers it covers.

The legal issues before the court involved assessing whether the enterprise agreement complied with the procedural requirements of the Fair Work Act and whether it was fair and reasonable in terms of the benefits, terms and conditions it provided for employees. The court had to determine whether the agreement was genuinely negotiated and if it provided for a fair and efficient workplace, as well as whether the application for approval was properly made. The court also had to consider the submissions made by both parties regarding the fairness of specific provisions of the agreement.

The court found that the enterprise agreement complied with the procedural requirements and was fairly negotiated. It held that the agreement was likely to provide for a fair and efficient workplace and was reasonable in all the circumstances. The court noted that the agreement contained provisions for minimum wages, penalty rates, and other terms and conditions that were consistent with industry standards and practices. The court also accepted the submissions of the Trustee that the agreement provided for a fair and efficient workplace and was in the best interests of the employees. The court approved the agreement, finding that it met the statutory requirements for enterprise agreements under the Fair Work Act.

The final orders of the court were that the application for approval of the Builder Enterprise Agreement 2020-2023 was granted. The court approved the agreement, subject to its registration with the Fair Work Commission, and directed that it be registered within 28 days of the date of the judgment. The court also ordered that the agreement would be in effect from the date of registration and would continue in force until it was replaced by a new enterprise agreement or terminated in accordance with 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