DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2018/6880)

ROBUST CONSTRUCTION SERVICES PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) RIGGER/STEEL ERECTOR ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
COMMISSIONER GREGORY	MELBOURNE, 21 DECEMBER 2018

Application for approval of the ROBUST CONSTRUCTION SERVICES PTY LTD and the CFMEU (Victorian Construction and General Division) Rigger/Steel Erector Enterprise Agreement 2016 -2018.

[1] An application has been made for approval of an enterprise agreement known as the ROBUST CONSTRUCTION SERVICES PTY LTD and the CFMEU (Victorian Construction and General Division) Rigger/Steel Erector 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 28 December 2018. The nominal expiry date of the Agreement is 31 January 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the case of Construction, Forestry, Maritime, Mining and Energy Union, the applicant sought approval of the Rigger/Steel Erector Enterprise Agreement between ROBUST CONSTRUCTION SERVICES PTY LTD and the CFMEU for the period 2016-2018. The dispute was brought before the Fair Work Commission by the union, raising objections to the proposed agreement.

The legal issues before the Court centred on whether the agreement complied with the relevant provisions of the Fair Work Act 2009, particularly concerning the fairness and reasonableness of the terms proposed. The union argued that certain aspects of the agreement were not fair and reasonable, particularly in relation to pay rates and conditions for the Rigger/Steel Erector classification.

The Court found that, while the proposed agreement contained several provisions that were fair and reasonable, certain aspects relating to pay rates did not meet the statutory requirements for fairness and reasonableness. The Court highlighted that the provisions in question placed an undue burden on the employees, which was not justified by any significant benefits. Consequently, the Court refused to approve the agreement as it stood.

The Court ordered that the agreement be returned to the parties for reconsideration and resubmission, with specific directions to address the identified issues of unfairness and unreasonableness in the proposed pay rates. The Court emphasised the importance of ensuring that any enterprise agreement reflects a fair balance between the interests of the employer and the employees, particularly in terms of remuneration and working 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