DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2018/5108)

CRANE RESOURCES PTY LTD / CFMEU COLLECTIVE AGREEMENT 2018

Building, metal and civil construction industries
COMMISSIONER WILSON	MELBOURNE, 26 SEPTEMBER 2018

Application for approval of the Crane Resources Pty Ltd / CFMEU Collective Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Crane Resources Pty Ltd / CFMEU Collective Agreement 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 3 October 2018. The nominal expiry date of the Agreement is 31 December 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 the approval of the Crane Resources Pty Ltd / CFMEU Collective Agreement 2018. The dispute centred on whether the collective agreement was made in good faith and whether it contained unfair provisions that contravened the Fair Work Act 2009. The CFMEU argued that the agreement was necessary to ensure fair terms and conditions for its members in the construction industry, while Crane Resources Pty Ltd contested the approval on the grounds that certain provisions were unreasonable and not made in good faith.

The legal issues the court had to address included whether the agreement was made in good faith, whether it contained unfair provisions, and whether the CFMEU had acted reasonably in the process of negotiating and finalising the agreement. The court had to consider the principles of good faith bargaining as outlined in the Fair Work Act, as well as the specific provisions of the agreement that were contested. The CFMEU had to demonstrate that the agreement was a product of genuine negotiations and that it did not contain terms that were excessively harsh, or that would have an adverse effect on employees.

The Fair Work Commission found that the CFMEU had acted in good faith and that the agreement contained no unfair provisions. The court emphasised the importance of ensuring that agreements are negotiated genuinely and without coercion, and that they provide fair and reasonable terms for employees. The Commission noted that the CFMEU had engaged in extensive negotiations with Crane Resources Pty Ltd, and that the terms of the agreement were reflective of those negotiations. The court also held that the provisions of the agreement were not excessively harsh, and did not have an adverse effect on employees.

The Fair Work Commission approved the Crane Resources Pty Ltd / CFMEU Collective Agreement 2018, finding that it was made in good faith and contained no unfair provisions. The decision reinforces the importance of genuine bargaining and fair terms in collective agreements, and provides guidance for future negotiations in the construction industry.

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