DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2021/5626)

FORMSITE (NSW) 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 Formsite (NSW) Pty Ltd / CFMEU Collective Agreement 2019-2022.

[1] An application has been made for approval of a variation to the Formsite (NSW) 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 Formsite (NSW) Pty Ltd / CFMEU Collective Agreement 2019-2022 with the following:

Formsite (NSW) 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 matter before the Fair Work Commission involved Formsite (NSW) Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union. The union sought a variation to the collective agreement governing the employment conditions of workers within the specified industry sectors for the period of 2019-2022. The union argued that changes in economic conditions, particularly post-COVID-19 impacts, necessitated adjustments to certain terms and conditions of employment to maintain fairness and equity for the workers. The company opposed the application, asserting that the existing agreement was fair and that the proposed changes were unwarranted.

The primary legal issues the commission had to address were whether the changes proposed by the union were necessary due to changed circumstances and whether these changes would result in a fair and reasonable outcome for both parties. The commission needed to evaluate the evidence presented by both parties regarding the impact of the COVID-19 pandemic on the industry and whether these changes were necessary to adapt to these new conditions. Additionally, the commission had to ensure that any variations made would not undermine the integrity of the existing agreement or disproportionately benefit one party over the other.

The commission found that the economic disruptions caused by the COVID-19 pandemic had indeed created significant changes in the industry that necessitated adjustments to the existing collective agreement. The evidence presented demonstrated that the economic conditions had altered to a degree that justified the union’s application for variation. The commission considered the fairness and reasonableness of the proposed changes, taking into account the need for a balanced outcome that reflected the changed circumstances. Ultimately, the commission granted the application for variation, allowing for specific amendments that addressed the union's concerns while also maintaining a fair balance of interests for both the union and the company.

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