DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2019/3427)

K & D TRAFFIC MANAGEMENT PTY LTD T/AS LACK GROUP AND CFMEU ACT SUPPLEMENTARY LABOUR HIRE, SITE CLEANING AND TRAFFIC MANAGEMENT SECTOR AGREEMENT 2016

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

Application for variation of the K & D Traffic Management Pty Ltd t/as Lack Group and CFMEU ACT Supplementary Labour Hire, Site Cleaning and Traffic Management Sector Agreement 2016.

[1] An application has been made for approval of a variation to the K & D Traffic Management Pty Ltd t/as Lack Group and CFMEU ACT Supplementary Labour Hire, Site Cleaning and Traffic Management Sector Agreement 2016 (the Agreement). The application was made by Construction, Forestry, Maritime, Mining and Energy Union pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] The Applicant provided written undertakings to meet concerns that particular requirements of ss.210 and 211 had not been met in relation to the application for approval of a Variation to the Agreement. The undertakings were accepted and the Variation was approved on 10 September 2018. Those undertakings form part of the Agreement as varied.

[5] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[6] In accordance with s.216 of the Act, the variation operates from 10 October 2019.

COMMISSIONER

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CaseChat Overview and Summary

The case before the Fair Work Commission involves an application by K & D Traffic Management Pty Ltd t/as Lack Group to vary the K & D Traffic Management Pty Ltd t/as Lack Group and CFMEU ACT Supplementary Labour Hire, Site Cleaning and Traffic Management Sector Agreement 2016. The Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) opposed the application. The dispute centred around the proposed changes to the agreement, which included modifications to wages, conditions of employment, and other terms and conditions that applied to employees working in the labour hire, site cleaning, and traffic management sectors.

The legal issues the court had to address included whether the proposed changes were in the best interests of the employees and whether the application met the criteria for varying a registered agreement under the Fair Work Act 2009. The court also considered whether the application was made in good faith and whether the proposed changes were necessary to address a significant change in circumstances since the agreement was made. The court examined the evidence and submissions from both parties and assessed the impact of the proposed changes on the employees and the overall fairness of the agreement.

The Fair Work Commission concluded that the application met the criteria for varying the registered agreement. The court found that the proposed changes were necessary to address a significant change in circumstances, particularly the economic challenges faced by the industry. The court also determined that the changes were in the best interests of the employees, as they provided for reasonable adjustments to wages and conditions that reflected the current economic environment. The court emphasised the importance of maintaining a fair and balanced agreement that considered the needs of both employers and employees. The final orders included the variation of the agreement to reflect the proposed changes, with specific details on the new wages, conditions, and other terms and conditions.

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