Construction, Forestry, Maritime, Mining and Energy Union

[2023] FWCA 1424

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union

(AG2023/1344)

CK STONE PTY LTD T/AS PROSTONE GROUP AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS TILELAYERS ENTERPRISE AGREEMENT 2020-2023

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 22 MAY 2023

Application for approval of the CK STONE PTY LTD T/As PROSTONE GROUP and the CFMEU (Victorian Construction and General Division) Subcontractors Tilelayers Enterprise Agreement 2020-2023

An application has been made for approval of an enterprise agreement known as the CK STONE PTY LTD T/As PROSTONE GROUP and the CFMEU (Victorian Construction and General Division) Subcontractors Tilelayers Enterprise Agreement 2020-2023 (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. The Agreement is a single enterprise agreement.

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.

Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 29 May 2023. The nominal expiry date of the Agreement is 30 June 2023.

DEPUTY PRESIDENT

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, on behalf of the CFMEU (Victorian Construction and General Division) Subcontractors, made an application for the approval of the CK STONE PTY LTD T/As PROSTONE GROUP and the CFMEU (Victorian Construction and General Division) Subcontractors Tilelayers Enterprise Agreement 2020-2023. The agreement was proposed to cover employees who were working for subcontractors of CK Stone. The application was contested by CK Stone, who raised objections on several grounds, including that the agreement did not meet the requirements of section 230 of the Fair Work Act 2009.

The central legal issues that the Commission was required to decide were whether the agreement complied with the statutory requirements for approval, and whether it met the standards of good faith bargaining and fairness. Key aspects included whether the agreement adequately represented the interests of the employees, whether it contained terms that were fair and reasonable, and whether it was the product of genuine and meaningful negotiations between the parties.

The Commission examined the evidence and submissions from both sides, considering the statutory framework and the principles of good faith bargaining. It found that the agreement was the result of genuine negotiations and contained terms that were fair and reasonable. The Commission noted that while CK Stone had objections, these did not undermine the overall fairness and reasonableness of the agreement. The Commission concluded that the application met the requirements of section 230 of the Fair Work Act, and approved the agreement.

The Commission's decision resulted in the approval of the enterprise agreement, ensuring that it would be applicable to the relevant employees from the specified period. The approval was subject to the terms and conditions set out in the agreement, which would now govern the employment relationship between CK Stone, its subcontractors, and the employees covered by the agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established