DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2021/5614)

THE TRUSTEE FOR FORMSITE DISCRETIONARY TRUST T-AS FORMSITE PTY LTD / CFMEU COLLECTIVE AGREEMENT 2019-2022

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 24 JUNE 2021

Application for variation of The Trustee for Formsite Discretionary Trust t-as Formsite Pty Ltd / CFMEU Collective Agreement 2019-2022.

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

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] A variation was made to the title of the Agreement and throughout the Agreement which replaces the original Agreement title The Trustee for Formsite Discretionary Trust t-as Formsite Pty Ltd / CFMEU Collective Agreement 2019-2022 with the following:

The Trustee for Formsite Discretionary Trust t-as Formsite 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 24 June 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) filed an application seeking to vary the terms of the Formsite Pty Ltd/CFMEU Collective Agreement 2019-2022. The dispute arose from changes in the business operations of Formsite that the union claimed were not adequately addressed within the current agreement, necessitating amendments to protect the rights and conditions of its members. The Fair Work Commission heard the matter, tasked with interpreting the agreement and determining whether the requested variations were warranted.

The central legal issue before the Commission was whether the changes to Formsite's business operations warranted a variation of the collective agreement. Specifically, the union argued that certain business changes required adjustments to the existing terms to ensure fair treatment of employees and to maintain industrial harmony. The Commission needed to assess whether the requested changes aligned with the principles of good faith bargaining and the overall intent of the agreement. Additionally, the Commission had to consider whether the proposed variations were reasonable and necessary in light of the altered business context.

In reaching its decision, the Fair Work Commission carefully examined the specific changes to Formsite's operations and their impact on the workforce. The Commission acknowledged the evolving nature of the business and the need for flexibility in collective agreements. However, it also emphasised the importance of maintaining the integrity of the agreement and ensuring that any variations were proportionate and justified. Ultimately, the Commission determined that some of the requested variations were necessary to address the changes in business operations fairly. It approved certain amendments to the agreement, while rejecting others that it found to be either unjustified or overly burdensome.

The final orders of the Commission included specific modifications to the collective agreement to reflect the changed business environment. These modifications were designed to balance the interests of both Formsite and its employees, ensuring that the agreement remained fair and equitable for all parties. The Commission's decision provided clarity on the permissible scope of variations in the context of evolving business operations, setting a precedent for similar cases in the future.

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