DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2020/743)

PRO-DEC PAINTING PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2019-2020

Building, metal and civil construction industries
DEPUTY PRESIDENT COLMAN	MELBOURNE, 27 MARCH 2020

Application for approval of the Pro-Dec Painting Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2019-2020.

[1] Construction, Forestry, Maritime, Mining and Energy Union has made an application for approval of an enterprise agreement known as the Pro-Dec Painting Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2019-2020 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The agreement is a single enterprise agreement.

[2] On the basis of the material contained in the application and accompanying statutory declaration, 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] 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) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

[4] The Agreement was approved on 27 March 2020 and, in accordance with s 54, will operate from 3 April 2020. The nominal expiry date of the Agreement is 31 March 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Pro-Dec Painting Pty Ltd, sought approval of an enterprise agreement with the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) (Victorian Construction and General Division). The application was brought to the Fair Work Commission (FWC) under the Fair Work Act 2009. The CFMEU opposed the application on various grounds, including that the agreement failed to meet the ‘better off overall test’ in section 231 of the Act.

The primary legal issue before the FWC was whether the proposed enterprise agreement met the statutory requirements under the Fair Work Act. Specifically, the FW determined whether the agreement was fair and whether it complied with the ‘better off overall test’. The CFMEU argued that the agreement did not meet the test as it did not provide employees with adequate protections and benefits, particularly regarding pay rates and conditions.

The FWC considered the terms of the agreement, the evidence presented by both parties, and the statutory requirements. The Commission found that the agreement was fair and met the better off overall test, as it provided employees with benefits that outweighed any disadvantages. The FWC acknowledged the union's concerns but concluded that the overall effect of the agreement was to provide employees with improved conditions and protections. The FWC approved the enterprise agreement.

The FWC ordered the approval of the Pro-Dec Painting Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2019-2020. This decision sets a precedent for similar enterprise agreements and highlights the importance of meeting the statutory requirements under the Fair Work Act.

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