DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2020/2051)

G JAMES SAFETY GLASS PTY LTD (VIC) G JAMES EXTRUSION CO PTY LTD (VIC) AND CFMMEU - MANUFACTURING DIVISION ENTERPRISE AGREEMENT 2020

Building, metal and civil construction industries
DEPUTY PRESIDENT MANSINI	MELBOURNE, 17 AUGUST 2020

Application for approval of the G James Safety Glass Pty Ltd (VIC) G James Extrusion Co Pty Ltd (VIC) and CFMMEU - Manufacturing Division Enterprise Agreement 2020.

[1] Application has been made for approval of a single enterprise agreement known as the G James Safety Glass Pty Ltd (VIC) G James Extrusion Co Pty Ltd (VIC) and CFMMEU - Manufacturing Division Enterprise Agreement 2020 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act).

[2] Since the application was made, the Commission raised concerns about the form of the application, whether the pre-approval requirements were met and the Agreement passes the better off overall test. Further information was provided in relation to these concerns.

[3] On the further information provided I am satisfied that the Agreement has been made by two employers that are single interest employers within the meaning of s.172(5).

[4] The Applicant also sought to correct an error in the original application, by filing an amended application. In the circumstances, I am satisfied that this amendment should be allowed and that it is appropriate to do so pursuant to s.586 of the Act.

[5] A written undertaking was given in accordance with s.190 of the Act and is attached at Annexure A (Undertaking). The bargaining representative supported the Undertaking. I am satisfied that the Undertaking will not cause financial detriment to any employee covered by the Agreement and that the Undertaking will not result in substantial changes to the Agreement. Pursuant to s.201(3) of the Act, the Undertaking is taken to be a term of the Agreement.

[6] On the basis of the material contained in the amended application, further information provided on request of the Commission and the Undertaking, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[7] The Construction, Forestry, Maritime, Mining and Energy Union, being a bargaining representative for the Agreement, has given notice under s.183 of the Act. In accordance with s.201(2), I note that the Agreement covers this organisation.

[8] The Agreement was approved on 17 August 2020 and, in accordance with s.54, will operate from 24 August 2020. The nominal expiry date of the Agreement is 30 June 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the Federal Court of Australia, the Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU) filed an application for the approval of the G James Safety Glass Pty Ltd (VIC) G James Extrusion Co Pty Ltd (VIC) and CFMMEU - Manufacturing Division Enterprise Agreement 2020. The application was made under section 234 of the Fair Work Act 2009 (Cth). The CFMMEU, as the representative of the employees, and the companies sought the Court's approval of the enterprise agreement, which was the result of negotiations between the parties. The dispute centred on whether the enterprise agreement complied with the statutory requirements and if it could be approved by the Court.

The court was required to determine if the agreement met the prerequisites set by the Fair Work Act 2009. Key issues included whether the agreement was genuinely negotiated between the parties, if it contained the necessary minimum terms and conditions, and if the agreement met the statutory "better off overall test" which requires that employees be no worse off financially and have at least the same conditions as provided for in the relevant award or safety net award. Additionally, the court examined if the agreement was free from any prohibited content, such as provisions that would undermine the operation of the safety net provided by the Act.

The Court found that the enterprise agreement satisfied all the statutory requirements. It was determined that the agreement had been genuinely negotiated, contained the necessary minimum terms, and passed the better off overall test. The agreement also did not contain any prohibited content. Given these findings, the Court approved the enterprise agreement. The decision was made in accordance with the statutory provisions of the Fair Work Act 2009, ensuring that the agreement would not undermine the safety net provisions of the Act and would provide a fair and reasonable set of terms and conditions for the employees.

As a result of the Court's approval, the G James Safety Glass Pty Ltd (VIC) G James Extrusion Co Pty Ltd (VIC) and CFMMEU - Manufacturing Division Enterprise Agreement 2020 was formally approved and could be implemented. The CFMMEU and the companies could now proceed with the agreed terms, confident that the enterprise agreement was legally binding and enforceable.

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