DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union
(AG2018/1253)

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

Building, metal and civil construction industries
COMMISSIONER JOHNS	CANBERRA, 16 APRIL 2018

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

[1] An application has been made for approval of an enterprise agreement known as the ABSEAL Pty Ltd and the CFMEU (Victorian Construction and General Division) 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 23 April 2018. The nominal expiry date of the Agreement is 30 June 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) and ABSEAL Pty Ltd applied to the Fair Work Commission for approval of their enterprise agreement. The agreement was for the period 2016 to 2018, and the CFMEU is the registered organisation representing employees in the construction, forestry, maritime, mining, and energy industries. The Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009.

The primary legal issue before the Commission was whether the agreement contained terms that were contrary to the "better off overall test" (BOOT) as per section 235 of the Fair Work Act. The BOOT requires that the employees be no worse off financially and at least one term must improve their conditions. The Commission also needed to consider if the agreement met the "in good faith" requirement under section 230 of the Act, ensuring that both parties engaged in genuine bargaining.

The Commission found that the agreement was made in good faith, as both parties had engaged in genuine negotiations and provided necessary information. The Commission also concluded that the agreement satisfied the BOOT, as employees were not worse off financially, and there were improvements in some terms and conditions. The Commission approved the agreement, emphasising the importance of fair and equitable terms for both employers and employees.

The Fair Work Commission approved the ABSEAL Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016 to 2018, determining that it met the statutory requirements under the Fair Work Act. The Commission highlighted the significance of genuine bargaining and the necessity for agreements to be beneficial for employees while also considering the interests of employers. This decision ensures that the terms of the agreement will provide a stable and fair working environment for the employees covered by the agreement.

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