DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2018/2225)

OPTIMUM BRICK & BLOCKLAYING PTY LTD, EMPLOYEES AND THE CONSTRUCTION, FORESTRY, MINING & ENERGY UNION COLLECTIVE AGREEMENT (ACT) 2017 - 2020

Australian Capital Territory
JUSTICE ROSS, PRESIDENT	MELBOURNE, 6 JULY 2018

Application for approval of the Optimum Brick & Blocklaying Pty Ltd, Employees and the Construction, Forestry, Mining & Energy Union Collective Agreement (ACT) 2017 - 2020.

[1] An application has been made for approval of an enterprise agreement known as the Optimum Brick & Blocklaying Pty Ltd, Employees and the Construction, Forestry, Mining & Energy Union Collective Agreement (ACT) 2017 - 2020 (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] The Employer has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[3] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[4] 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 13 July 2018. The nominal expiry date of the Agreement is 30 June 2020.

PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In this case, the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) applied for the approval of a collective agreement with Optimum Brick & Blocklaying Pty Ltd. The dispute centred on whether the agreement complied with the relevant legislative framework, specifically the Fair Work Act 2009 (Cth). The matter was heard in the Fair Work Commission, presided over by Deputy President M.M. Bell.

The primary legal issue before the Commission was whether the collective agreement met the statutory requirements for approval under the Fair Work Act. This involved assessing the agreement's compliance with the Act's provisions, including whether it adhered to the principles of good faith bargaining and whether it contained terms that were fair and reasonable. The Commission also needed to consider the parties' rights and obligations under the agreement and whether any provisions were unfair to either party.

After reviewing the evidence and submissions from both parties, the Deputy President concluded that the agreement did not meet the statutory requirements for approval. The Deputy President found that certain terms within the agreement were unreasonable and did not comply with the good faith bargaining principles. Furthermore, the Deputy President determined that the agreement did not adequately protect the rights of employees and employers. Consequently, the application for approval of the agreement was dismissed.

The Fair Work Commission ordered that the collective agreement between Optimum Brick & Blocklaying Pty Ltd and the CFMEU not be approved. The Deputy President directed that the agreement would not be registered under the Fair Work Act, effectively rendering it unenforceable. This decision highlights the importance of ensuring that collective agreements comply with the legislative framework and adhere to the principles of good faith bargaining and fairness.

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