DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2018/5833)

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

Building, metal and civil construction industries
COMMISSIONER JOHNS	SYDNEY, 29 OCTOBER 2018

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

[1] An application has been made for approval of an enterprise agreement known as the OMF Demolition Pty Ltd and the CFMEU (Victorian Construction and General Division) Demolition 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 5 November 2018. The nominal expiry date of the Agreement is 30 November 2018.

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 (CFMEU) applied for approval of the OMF Demolition Pty Ltd and the CFMEU (Victorian Construction and General Division) Demolition Enterprise Agreement 2016-2018. The application was made under section 234 of the Fair Work Act 2009. The agreement was to apply to employees of OMF Demolition Pty Ltd who were members of the union at the time of the application and to non-union employees of the employer in the relevant bargaining unit.

The primary legal issue the Commission was required to determine was whether the agreement met the "better off overall test" (BOOT) as set out in section 230 of the Act. The BOOT requires that the agreement must provide employees with at least the national minimum terms and conditions and be better off overall than those terms and conditions. The Commission also had to consider whether the agreement met the good faith bargaining requirement under section 228 of the Act.

The Commission found that the agreement met the BOOT as it provided for wages and conditions that were at least equal to the national minimum terms and conditions, and in many instances were better. The agreement provided for wage increases, improved leave provisions, and better protections for employees. The Commission was satisfied that the agreement had been the product of good faith bargaining between the parties. The Commission approved the agreement on the basis that it met the requirements of the Act.

The Commission made an order approving the agreement and directing that it be registered with the Fair Work Commission. The agreement is to be in effect from 1 July 2016 until 30 June 2018. The order also provided that the agreement would apply to non-union employees of OMF Demolition Pty Ltd in the relevant bargaining unit.

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