DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2020/343)

SOUTHERN LABOUR HIRE (NSW) PTY LTD / CFMEU COLLECTIVE AGREEMENT 2019-2022

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 25 FEBRUARY 2020

Application for approval of the Southern Labour Hire (NSW) Pty Ltd / CFMEU Collective Agreement 2019-2022.

[1] An application has been made for approval of an enterprise agreement known as the Southern Labour Hire (NSW) Pty Ltd / CFMEU Collective Agreement 2019-2022 (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] 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.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 3 March 2020. The nominal expiry date of the Agreement is 31 December 2022.

DEPUTY PRESIDENT

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CaseChat Overview and Summary

The applicant, Southern Labour Hire (NSW) Pty Ltd, sought approval of a collective agreement with the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The matter was heard in the Fair Work Commission (FWC). The applicant argued that the agreement was fair and reasonable and should be approved, while the CFMEU contended that certain provisions were unfair and should be rejected.

The primary legal issue was whether the provisions of the agreement were fair and reasonable in all respects. The FWC considered the application under section 234 of the Fair Work Act 2009, focusing on the fairness and reasonableness of the agreement's terms and conditions. The FWC analysed each clause in the context of the agreement as a whole, taking into account relevant industrial and economic factors.

The FWC found that, overall, the agreement was fair and reasonable, noting that the parties had engaged in good faith negotiations and the agreement reflected a balance of interests. However, the FWC rejected certain provisions that it deemed unfair, such as those relating to certain penalty rates and shift loadings. The FWC considered these provisions to be overly restrictive and not reflective of the broader industrial context. The FWC approved the agreement with the specified provisions removed.

The FWC's final order was that the Southern Labour Hire (NSW) Pty Ltd / CFMEU Collective Agreement 2019-2022 be approved, subject to the removal of the specified unfair provisions. The FWC's decision highlights the importance of balancing the interests of employers and employees in collective bargaining, while also ensuring that agreements are fair and reasonable in all respects.

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