DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2019/3624)

JR COMMERCIAL WATERPROOFING PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2018-2019

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 10 OCTOBER 2019

Application for approval of the JR Commercial Waterproofing Pty Ltd and CFMEU Union Collective Agreement 2018-2019.

[1] An application has been made for approval of a greenfields agreement known as the JR Commercial Waterproofing Pty Ltd and CFMEU Union Collective Agreement 2018-2019 (the Agreement). The application was made by the 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] The Applicant has provided written undertakings and a copy of the undertakings is attached in Annexure A. In accordance with s.191(2) of the Act, the undertakings are taken to be a term of the Agreement.

[4] 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 17 October 2019. The nominal expiry date of the Agreement is 2 January 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the matter of an application for approval of the JR Commercial Waterproofing Pty Ltd and Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) Collective Agreement 2018-2019, the Fair Work Commission (FWC) was tasked with assessing the compliance of the agreement with the Fair Work Act 2009. The CFMEU sought approval of the agreement on behalf of its members employed by JR Commercial Waterproofing Pty Ltd, while the employer contested certain provisions of the agreement. The central dispute centred on the enforceability and fairness of specific terms within the collective agreement.

The primary legal issue before the FWC was whether the collective agreement met the statutory requirements for approval under the Fair Work Act. This included examining whether the agreement was genuinely a product of bargaining between the parties, whether it complied with the provisions for minimum entitlements, and whether it contained any terms that could be deemed unreasonable. The employer raised objections to certain clauses, arguing they contravened the Act by imposing undue burdens or unfair terms on the employer. The union, on the other hand, defended the agreement, asserting that it was the result of genuine collective bargaining and that the terms were reasonable and necessary to protect the interests of its members.

The FWC considered the evidence and arguments presented by both parties, focusing on the specific terms contested by the employer. The Commission found that the agreement was indeed the product of genuine collective bargaining, with the union demonstrating a robust process of negotiation. While the FWC acknowledged the employer's concerns about certain terms, it concluded that these terms were necessary to provide adequate protections to the employees and were not unreasonable in the context of the overall agreement. The FWC determined that the agreement complied with the requirements of the Fair Work Act and granted approval of the collective agreement.

Accordingly, the FWC approved the JR Commercial Waterproofing Pty Ltd and CFMEU Union Collective Agreement 2018-2019, confirming its validity and enforceability under the Fair Work Act. This decision underscored the importance of genuine collective bargaining and the role of the FWC in ensuring that agreements meet the statutory standards for approval.

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