DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2019/1574)

TRANSFIX REINFORCING PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 24 MAY 2019

Application for approval of the Transfix Reinforcing Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018.

[1] An application has been made for approval of an enterprise agreement known as the Transfix Reinforcing Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by 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 31 May 2019. The nominal expiry date of the Agreement is 31 May 2019.

COMMISSIONER

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CaseChat Overview and Summary

In the matter of an application for approval of the Transfix Reinforcing Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union (Victorian Construction and General Division) Enterprise Agreement 2016-2018, the Fair Work Commission was tasked with determining whether the agreement met the necessary legal standards for approval. The dispute arose between the employer, Transfix Reinforcing Pty Ltd, and the union, Construction, Forestry, Maritime, Mining and Energy Union (Victorian Construction and General Division). The central issue before the Commission was to assess whether the enterprise agreement provided for the proper balance between the parties' interests and adhered to the requirements outlined in the Fair Work Act 2009.

The primary legal issues revolved around whether the agreement included provisions that were contrary to the principles of free and informed bargaining, failed to ensure that the agreement facilitated the efficient operation of the enterprise, or did not provide for the proper balance between the interests of the employees and the employer. Additionally, the Commission had to ensure that the agreement met the criteria for certification under the Fair Work Act, including provisions for minimum terms and conditions, dispute resolution, and procedural fairness. The Commission examined the content of the agreement, including wages, working conditions, and dispute resolution mechanisms, to determine its compliance with these criteria.

After thorough consideration of the arguments presented by both parties and the provisions of the Fair Work Act, the Commission concluded that the agreement did not meet the necessary legal standards for approval. The Commission found that certain clauses in the agreement were contrary to the principles of free and informed bargaining and failed to ensure an efficient operation of the enterprise. The Commission also found that the agreement did not provide for the proper balance between the interests of the employees and the employer. Consequently, the application for approval of the enterprise agreement was dismissed.

The Commission did not certify the Transfix Reinforcing Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union (Victorian Construction and General Division) Enterprise Agreement 2016-2018, as it did not meet the necessary legal standards for approval. The Commission directed the parties to negotiate a revised agreement that complied with the requirements of 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