DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2019/1235)

MAC DRILL AND CONSTRUCTION PTY LTD (QUEENS WHARF PROJECT) UNION COLLECTIVE AGREEMENT 2018

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 30 APRIL 2019

Application for approval of the Mac Drill and Construction Pty Ltd (Queens Wharf Project) Union Collective Agreement 2018.

[1] An application has been made for approval of a greenfields agreement known as the Mac Drill and Construction Pty Ltd (Queens Wharf Project) Union Collective Agreement 2018 (the Agreement). The application was made by 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 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] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with Construction, Forestry, Maritime, Mining and Energy Union and that the Agreement covers this organisation.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 May 2019. The nominal expiry date of the Agreement is 1 November 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the Construction, Forestry, Maritime, Mining and Energy Union sought approval of a union collective agreement with Mac Drill and Construction Pty Ltd in relation to the Queens Wharf Project. The Union argued that the agreement was necessary to protect the employees’ rights and interests in the context of the project. Mac Drill and Construction Pty Ltd opposed the approval, contending that the agreement was inconsistent with the objectives of the Fair Work Act.

The legal issues before the Commission involved whether the collective agreement met the criteria for approval under section 234 of the Fair Work Act, particularly whether it promoted harmonious, productive and cooperative workplace relationships. The Union contended that the agreement provided for fair and reasonable terms and conditions, and that it was in the best interests of the employees. Mac Drill and Construction Pty Ltd argued that the agreement contained provisions that were inconsistent with the objects of the Act, and that it did not promote cooperative workplace relationships.

After considering the evidence and submissions, the Commission found that the agreement contained provisions that were inconsistent with the objects of the Act and did not promote cooperative workplace relationships. The Commission noted that the agreement included provisions that restricted the employer's ability to manage its business, and that it imposed unnecessary burdens on the employer. The Commission also found that the agreement did not provide for fair and reasonable terms and conditions for the employees. Accordingly, the Commission refused to approve the agreement.

The Fair Work Commission refused to approve the Mac Drill and Construction Pty Ltd (Queens Wharf Project) Union Collective Agreement 2018.

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