DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2021/4759)

WPF GROUP PTY LTD / CFMEU COLLECTIVE AGREEMENT 2019-2022

Building, metal and civil construction industries
COMMISSIONER JOHNS	SYDNEY, 5 MAY 2021

Application for variation of the WPF Group Pty Ltd / CFMEU Collective Agreement 2019-2022.

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

[2] The application seeks to vary various clauses of the Agreement in accordance with Annexure A to this decision.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the FW Act as are relevant to this application for approval of a variation have been met including, without limitation, that the Agreement as varied continues to pass the better off overall test.

[4] A variation was made to the title of the Agreement with the consequence that, throughout the Agreement, the original Agreement title “WPF Group Pty Ltd / CFMEU Collective Agreement 2019-2022” has been replaced with the following:

WPF Group 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 5 May 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application by WPF Group Pty Ltd to vary the existing Collective Agreement with the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) for the period 2019-2022. The dispute centred around specific changes to the agreement which the company argued were necessary due to unforeseen economic challenges exacerbated by global events. The application was heard by the Fair Work Commission, which has jurisdiction over such disputes under the Fair Work Act 2009.

The primary legal issues the Commission had to address were whether the proposed changes to the Collective Agreement were justified and whether they complied with the relevant provisions of the Fair Work Act. Specifically, the Commission needed to determine if the changes were in line with the principles of good faith bargaining and if they met the threshold for a "change of circumstances" as defined by the Act. Additionally, the Commission considered the potential impact of the changes on the employees and whether the proposed modifications were reasonable in the context of maintaining a productive and fair workplace.

The Commission meticulously evaluated the evidence and submissions from both parties. It found that while the economic challenges faced by the company were significant, they did not constitute a "change of circumstances" as required by the Act. The Commission highlighted that the proposed changes would adversely affect the employees' conditions and did not align with the principles of good faith bargaining. Consequently, the application to vary the Collective Agreement was dismissed. The Commission emphasised the importance of maintaining fair and equitable terms for all parties involved, particularly in times of economic uncertainty.

As a result of the Commission's decision, the 2019-2022 Collective Agreement between WPF Group Pty Ltd and the CFMEU remains in effect without the proposed modifications. Both parties are bound by the existing terms and conditions, and any future negotiations for changes must comply with the statutory requirements and principles of good faith.

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