DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2020/3940)

A C CIVIL BUILD PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS FORMWORK ENTERPRISE AGREEMENT 2020-2023

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 30 DECEMBER 2020

Application for approval of the A C CIVIL BUILD PTY LTD and the CFMEU (Victorian Construction and General Division) Subcontractors Formwork Enterprise Agreement 2020-2023.

[1] An application has been made for approval of a greenfields agreement known as the A C CIVIL BUILD PTY LTD and the CFMEU (Victorian Construction and General Division) Subcontractors Formwork Enterprise Agreement 2020-2023 (the Agreement). The application was made by Construction, Forestry, Maritime, Mining and Energy Union pursuant to s.185 of the Fair Work Act 2009 (Act).

[2] This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that the Construction, Forestry, Maritime, Mining and Energy Union is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[3] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with the Construction, Forestry, Maritime, Mining and Energy Union and that the Agreement covers this organisation.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 6 January 2020. The nominal expiry date of the Agreement is 30 June 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) and A C Civil Build Pty Ltd for the approval of their Subcontractors Formwork Enterprise Agreement 2020-2023. This agreement was designed to regulate the terms and conditions of employment for formwork subcontractors engaged by A C Civil Build Pty Ltd. The union and the employer sought the commission’s approval of the agreement to ensure it met the legal requirements under the Fair Work Act 2009.

The central legal issues before the commission included whether the agreement complied with the provisions of the Fair Work Act, particularly sections relating to the avoidance of undue hardship, procedural fairness, and the substantive fairness of the terms and conditions. Additionally, the commission had to consider if the agreement was made in good faith and whether it provided for the proper operation of the enterprise. The commission was also tasked with assessing the fairness of the agreement’s terms concerning wages, hours of work, and other employment conditions.

In deliberating on the application, the commission took into account the submissions from both the union and the employer, along with the evidence presented. The commission noted that the agreement had been negotiated in good faith and that the process followed adhered to the principles of procedural fairness. The substantive terms of the agreement were found to be reasonable and not overly harsh, providing an appropriate balance between the interests of the employees and the employer. The commission determined that the agreement met the statutory requirements and did not impose undue hardship on the employer. Consequently, the commission approved the Subcontractors Formwork Enterprise Agreement 2020-2023.

The Fair Work Commission approved the Subcontractors Formwork Enterprise Agreement 2020-2023 between A C Civil Build Pty Ltd and the CFMEU (Victorian Construction and General Division). The decision was based on the agreement being negotiated in good faith, adhering to procedural fairness, and providing substantive fairness in the terms and conditions of employment. The commission’s approval ensures the agreement is legally binding and enforceable under the Fair Work Act 2009.

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