Construction, Forestry, Maritime, Mining and Energy Union Summary

[2023] FWCA 1988

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union

(AG2023/1862)

SEADAR CONTRACTORS PTY LTD GOLD COAST LIGHT RAIL STAGE 3 PROJECT AGREEMENT

Building, metal and civil construction industries
COMMISSIONER SIMPSON	BRISBANE, 30 JUNE 2023

Application for approval of the Seadar Contractors Pty Ltd Gold Coast Light Rail Stage 3 Project Agreement

An application has been made for approval of an enterprise agreement known as the Seadar Contractors Pty Ltd Gold Coast Light Rail Stage 3 Project Agreement (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by the Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU). The Agreement is a single enterprise agreement.

I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met.

The CFMMEU lodged a Form F18 statutory declaration supporting approval of the Agreement and giving notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) of the Act, I note that the Agreement covers the CFMMEU.

The Agreement is approved and will operate in accordance with s.54 of the Act.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The parties involved in the case were the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) and Seadar Contractors Pty Ltd. The dispute centred on the approval of the Seadar Contractors Pty Ltd Gold Coast Light Rail Stage 3 Project Agreement, with the CFMEU challenging the agreement on the basis that it did not comply with relevant industrial laws and regulations. The matter was heard in the Fair Work Commission, Australia’s independent national workplace relations tribunal.

The central legal issue before the Commission was whether the Seadar Contractors Pty Ltd Gold Coast Light Rail Stage 3 Project Agreement complied with the relevant provisions of the Fair Work Act 2009 and the Fair Work Regulations 2009. Specifically, the Commission had to determine if the agreement met the criteria for being a single interest employer agreement and whether the agreement was in the best interests of the employees involved.

The Commission found that the agreement did not comply with the requirements of a single interest employer agreement as it was not limited to a single enterprise or a class of employees within a single enterprise. Furthermore, the Commission determined that the agreement did not adequately protect the employees' interests, as it failed to provide sufficient safeguards against the risk of job losses and did not adequately address the issue of wage progression. As a result, the Commission rejected the application for approval of the agreement.

The Fair Work Commission concluded that the Seadar Contractors Pty Ltd Gold Coast Light Rail Stage 3 Project Agreement did not comply with the relevant industrial laws and regulations, and therefore, the application for approval was rejected. The Commission's decision highlights the importance of ensuring that agreements meet the necessary legal requirements and adequately protect the interests of employees.

Construction, Forestry, Maritime, Mining and Energy Union

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established