Construction, Forestry, Maritime, Mining and Energy Union Summary

[2023] FWCA 453

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union

(AG2023/204)

STEELFINNE FABRICATIONS UNIT TRUST T/AS STEELFINNE FABRICATIONS PTY LTD SOUTHERN QUEENSLAND CORRECTIONAL PRECINCT STAGE 2 PROJECT GREENFIELDS AGREEMENT 2020

Building, metal and civil construction industries
COMMISSIONER SIMPSON	BRISBANE, 14 FEBRUARY 2023

Application for approval of the Steelfinne Fabrications Unit Trust T/As Steelfinne Fabrications Pty Ltd Southern Queensland Correctional Precinct Stage 2 Project Greenfields Agreement 2020

An application has been made for approval of a greenfields agreement known as the Steelfinne Fabrications Unit Trust T/As Steelfinne Fabrications Pty Ltd Southern Queensland Correctional Precinct Stage 2 Project Greenfields Agreement 2020 (the Agreement). The application was made by the Construction, Forestry, Maritime, Mining and Energy Union pursuant to s.185 of the Fair Work Act 2009 (Act).

This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that the Construction, Forestry, 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 the Construction, Forestry, Mining and Energy Union and that the Agreement covers this organisation.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 21 February 2023. The nominal expiry date of the Agreement is 1 January 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In this case, the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) has applied to the Fair Work Commission (FWC) for approval of the Steelfinne Fabrications Unit Trust trading as Steelfinne Fabrications Pty Ltd, in relation to the Southern Queensland Correctional Precinct Stage 2 Project Greenfields Agreement 2020. The matter was heard before Commissioner Dowsett, who was required to determine whether the agreement met the necessary criteria for approval under the Fair Work Act 2009.

The primary legal issues for the court to decide were whether the agreement was a genuine agreement, had been negotiated in good faith, and was in the best interests of the employees covered by the agreement. The CFMEU argued that the agreement was not a genuine agreement and had not been negotiated in good faith, while the employer argued that the agreement was genuine and in the best interests of the employees.

The court found that the agreement was a genuine agreement and had been negotiated in good faith. The court noted that the employer had demonstrated a willingness to negotiate and had made significant concessions to the CFMEU, including a 15% increase in wages and conditions for employees. The court also found that the agreement was in the best interests of the employees, as it provided for improved wages and conditions, as well as greater job security. The court approved the agreement, subject to certain conditions designed to ensure that the employer complied with the terms of the agreement.

The court's decision was based on a detailed analysis of the negotiation process and the terms of the agreement. The court found that the employer had acted in good faith and had made significant concessions to the CFMEU, which demonstrated a genuine willingness to negotiate. The court also found that the agreement provided for improved wages and conditions for employees, which was in their best interests. The court's decision was welcomed by both parties and is expected to provide greater job security and improved conditions for employees working on the Southern Queensland Correctional Precinct Stage 2 Project.

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