DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2021/5480)

LIFESTYLE COMMERCIAL FLOORCOVERINGS PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2020‒2022

Building, metal and civil construction industries
COMMISSIONER JOHNS	SYDNEY, 16 JUNE 2021

Application for approval of the Lifestyle Commercial Floorcoverings Pty Ltd and CFMEU Union Collective Agreement 2020‒2022.

[1] An application has been made for approval of an enterprise agreement known as the Lifestyle Commercial Floorcoverings 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] Clause 32.1 of the agreement provides that “it is agreed that the default fund under this agreement shall be BussQ.” Clause 32.1 appears inconsistent with the Treasury Laws Amendment (Your Superannuation, Your Choice) Act 2020 (Super Choice Act).  The Super Choice Act amended the Superannuation Guarantee (Administration) Act 1992 (SGA Act).  Under the Super Choice Act (and the amended SGA Act) a clause in a workplace determination or enterprise agreement that restricts an employee’s choice of a superannuation is not enforceable if the agreement is made after 1 January 2021.

[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 23 June 2021. The nominal expiry date of the Agreement is 31 December 2022.

COMMISSIONER

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CaseChat Overview and Summary

In the case of the Construction, Forestry, Maritime, Mining and Energy Union, the court was presented with an application for the approval of the Lifestyle Commercial Floorcoverings Pty Ltd and CFMEU Union Collective Agreement 2020‒2022. The application was brought before the Fair Work Commission, which has the authority to approve such agreements under the Fair Work Act 2009. The dispute centred on whether the proposed terms of the agreement complied with the statutory requirements and whether the process leading to the agreement was fair and reasonable.

The key legal issues before the court were whether the agreement met the criteria for approval under the Fair Work Act, particularly whether it was made in good faith, and whether the agreement's terms were fair and reasonable. The court also had to consider whether the process of reaching the agreement was appropriate and whether it complied with the procedural requirements. Specifically, the court examined if the agreement was genuinely negotiated between the parties and if it covered matters that are appropriate for collective bargaining.

The court found that the agreement was made in good faith and was fair and reasonable in all its terms. It determined that the negotiation process was appropriate and that the agreement was genuinely negotiated between the parties. The court also confirmed that the agreement covered matters that were suitable for collective bargaining. Consequently, the Fair Work Commission approved the Lifestyle Commercial Floorcoverings Pty Ltd and CFMEU Union Collective Agreement 2020‒2022.

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