Construction, Forestry, Maritime, Mining and Energy Union Summary

[2022] FWCA 4110

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union

(AG2022/4807)

ABC Manufacturing Pty Ltd and CFMEU Union Collective Agreement 2020–2022

Building, metal and civil construction industries
COMMISSIONER JOHNS	MELBOURNE, 29 NOVEMBER 2022

Application for approval of the ABC Manufacturing Pty Ltd and CFMEU Union Collective Agreement 2020–2022

An application has been made for approval of a greenfields agreement known as the ABC Manufacturing Pty Ltd and CFMEU Union Collective Agreement 2020–2022 (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 6 December 2022. The nominal expiry date of the Agreement is 31 December 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved an application by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) for the approval of a collective agreement between ABC Manufacturing Pty Ltd and the union, covering the period from 2020 to 2022. The application was heard by the Fair Work Commission (FWC), which has jurisdiction to approve collective agreements under the Fair Work Act 2009. The dispute centred on whether the proposed agreement complied with the relevant statutory requirements and whether it was fair and reasonable in all its terms.

The primary legal issues before the FWC were whether the agreement met the criteria for approval under section 233 of the Fair Work Act, including whether it promoted high wages and conditions, and facilitated efficient and productive workplace relations. Additionally, the FWC had to consider whether the agreement contained any provisions that were contrary to public policy or detrimental to the parties' ability to manage their business.

In its decision, the FWC found that the agreement largely complied with the statutory requirements. The commission considered the economic context, the parties' bargaining positions, and the provisions of the agreement. The FWC noted that the agreement provided for fair wages and conditions that were in line with industry benchmarks. It also found that the agreement facilitated efficient workplace relations and did not contain any provisions that were contrary to public policy or detrimental to the business operations of the parties. Therefore, the FWC approved the agreement under section 233 of the Fair Work Act.

The FWC's final order was that the ABC Manufacturing Pty Ltd and CFMEU Union Collective Agreement 2020–2022 be approved in its entirety, effective from the date of the decision. This approval meant that the terms of the agreement could be enforced as a binding instrument under the Fair Work Act.

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