Construction, Forestry, Maritime, Mining and Energy Union

[2022] FWCA 4300

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union

(AG2022/5049)

SQM Group NSW Pty Ltd / CFMEU Collective Agreement 2019-2023

Building, metal and civil construction industries
COMMISSIONER JOHNS	MELBOURNE, 13 DECEMBER 2022

Application for approval of the SQM Group NSW Pty Ltd / CFMEU Collective Agreement 2019-2023

An application has been made for approval of a greenfields agreement known as the SQM Group NSW Pty Ltd / CFMEU Collective Agreement 2019-2023 (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 the 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 the 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 the 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 20 December 2022. The nominal expiry date of the Agreement is 31 December 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter under consideration was an application for the approval of a collective agreement between SQM Group NSW Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) for the period 2019-2023. The application was brought before the Fair Work Commission (FWC) to determine whether the agreement met the statutory requirements for approval under the Fair Work Act 2009. The FWC's role was to ensure that the agreement did not undermine the safety net of minimum entitlements and conditions, and that it was in the interests of fairness and productivity.

The central legal issue before the FWC was whether the collective agreement, as proposed, complied with the criteria set out in the Fair Work Act. Specifically, the FWC needed to assess if the agreement provided for the terms and conditions of employment in a manner that was fair and protected the safety net of minimum standards. The FWC had to ensure that the agreement did not unduly diminish the rights of employees and that it was made in good faith and without coercion.

In examining the application, the FWC took into account the submissions from both parties and considered the broader context of industrial relations in the sector. The FWC found that the proposed agreement provided for fair terms and conditions, taking into account the specific circumstances of the industry and the bargaining positions of the parties. The FWC was satisfied that the agreement did not undermine the safety net of minimum standards and was in the interests of fairness and productivity. Consequently, the FWC approved the collective agreement as it complied with the statutory requirements under the Fair Work Act.

In light of the findings, the FWC approved the SQM Group NSW Pty Ltd / CFMEU Collective Agreement 2019-2023, effective from the date of the decision. This decision ensures that the agreement is legally binding and can be implemented by the parties, providing a framework for the employment terms and conditions for the duration of the agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established