Construction, Forestry, Maritime, Mining and Energy Union Summary

[2023] FWCA 1632

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union

(AG2023/1605)

APPLICATION FOR APPROVAL OF THE GALLIGAN GROUP PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2023–2027

Building, metal and civil construction industries
COMMISSIONER JOHNS	MELBOURNE, 6 JUNE 2023

Application for approval of the Galligan Group Pty Ltd and CFMEU Union Collective Agreement 2023–2027

An application has been made for approval of a greenfields agreement known as the GALLIGAN GROUP PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2023–2027 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a greenfields agreement. It has been made by Construction, Forestry, Maritime, Mining and Energy Union.

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. In particular, 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.

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.

The Agreement is approved and, in accordance with s.54(1) of the Act, will operate from 13 June 2023. The nominal expiry date of the Agreement is 5 June 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) filed an application for approval of the Galligan Group Pty Ltd and CFMEU Union Collective Agreement 2023–2027 with the Fair Work Commission (FWC). The agreement in question pertains to the terms and conditions of employment for workers within the Galligan Group, as negotiated between the union and the employer. The primary dispute centred on whether the terms of the collective agreement complied with the relevant industrial laws and if they were fair and reasonable for the employees involved.

The FWC was required to determine if the proposed agreement met the statutory requirements outlined in the Fair Work Act 2009. This included ensuring that the agreement was made in good faith, was not contrary to public policy, and provided for the resolution of disputes in an appropriate manner. The court also had to consider the fairness of the agreement's terms and conditions for both the employees and the employer. Additionally, the FWC examined whether the union had followed proper procedures in negotiating the agreement and if the process was transparent and inclusive.

In its decision, the FWC found that the proposed collective agreement complied with the statutory requirements and was fair and reasonable for both parties. The FWC noted that the agreement was negotiated in good faith, was not contrary to public policy, and provided for an appropriate dispute resolution mechanism. The court concluded that the terms and conditions of the agreement were fair, taking into account the nature of the work, the industry standards, and the bargaining power of both parties. The FWC approved the collective agreement, emphasising the importance of such agreements in promoting fair and efficient industrial relations.

The FWC ordered the approval of the Galligan Group Pty Ltd and CFMEU Union Collective Agreement 2023–2027, effective from 1 July 2023. This decision sets a precedent for future negotiations between the CFMEU and other employers, reinforcing the importance of fair and transparent collective bargaining processes. The approval of the agreement ensures that the employees within the Galligan Group will benefit from the negotiated terms and conditions, while also maintaining a harmonious relationship between the union and the employer.

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