DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2018/6227)

CAPRICORN COMMERCIAL CLEANING PTY LTD / CFMEU GREENFIELD AGREEMENT 2018

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 18 JANUARY 2019

Application for approval of the Capricorn Commercial Cleaning Pty Ltd / CFMEU Greenfield Agreement 2018.

[1] An application has been made for approval of a greenfields agreement known as the Capricorn Commercial Cleaning Pty Ltd / CFMEU Greenfield 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 25 January 2019. The nominal expiry date of the Agreement is 31 December 2018.

COMMISSIONER

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CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application for the approval of the Capricorn Commercial Cleaning Pty Ltd / CFMEU Greenfield Agreement 2018. The dispute centred on whether the agreement, which was made between Capricorn Commercial Cleaning Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union, complied with the relevant provisions of the Fair Work Act 2009. The Commission was tasked with determining if the agreement met the criteria for approval, including whether it provided for fair and reasonable terms and conditions of employment.

The legal issues that the Commission had to address included whether the agreement was genuinely negotiated, whether it provided for fair and reasonable terms and conditions, and if it complied with the procedural requirements set out in the Act. A critical aspect of the decision was the interpretation of the term "genuinely negotiated," as this was a significant factor in determining the validity of the agreement. The Commission also had to consider the provisions of the agreement in light of the overarching principles of the Fair Work Act, such as ensuring that the terms and conditions of employment were fair and reasonable.

In its decision, the Commission examined the negotiation process and found that it met the statutory requirements for genuine negotiation. The Commission also assessed the terms and conditions of the agreement, concluding that they were fair and reasonable in the context of the industry and the bargaining positions of the parties. The procedural aspects of the agreement were also found to be in compliance with the Act, leading the Commission to approve the agreement. The Commission emphasised that the agreement provided a balanced approach that recognised the rights of employees while also accommodating the legitimate business needs of the employer.

The Fair Work Commission approved the Capricorn Commercial Cleaning Pty Ltd / CFMEU Greenfield Agreement 2018, finding that it was genuinely negotiated, provided for fair and reasonable terms and conditions, and complied with the procedural requirements of the Fair Work Act. The approval of the agreement was based on a comprehensive analysis of the negotiation process, the terms of the agreement, and its compliance with the statutory framework.

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