Construction, Forestry, Maritime, Mining and Energy Union

[2022] FWCA 3586

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry, Maritime, Mining and Energy Union

(AG2022/4257)

PARRY STREET INDUSTRIES PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS CARPENTRY AND JOINERY ENTERPRISE AGREEMENT 2020-2023

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 20 OCTOBER 2022

Application for approval of the PARRY STREET INDUSTRIES PTY LTD and the CFMEU (Victorian Construction and General Division) Subcontractors Carpentry and Joinery Enterprise Agreement 2020-2023

An application has been made for approval of an enterprise agreement known as the PARRY STREET INDUSTRIES PTY LTD and the CFMEU (Victorian Construction and General Division) Subcontractors Carpentry and Joinery 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 27 October 2022. The nominal expiry date of the Agreement is 30 June 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of an application for the approval of the Parry Street Industries Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union (Victorian Construction and General Division) Subcontractors Carpentry and Joinery Enterprise Agreement 2020-2023, the Fair Work Commission was called upon to determine whether the agreement met the statutory criteria for registration. The application was brought by the union, seeking approval of the enterprise agreement as a modern award. Parry Street Industries Pty Ltd is a construction company, and the union represents its subcontractors involved in carpentry and joinery work. The dispute centred on the terms and conditions set out in the agreement and whether they complied with the requirements of the Fair Work Act 2009.

The legal issues before the Commission involved assessing whether the enterprise agreement was made in good faith, whether it contained the minimum terms and conditions as required by the Act, and whether it complied with the provisions concerning the scope of the agreement, the coverage of employees, and the procedural fairness in its making. Specifically, the Commission examined if the agreement was negotiated in good faith, if the minimum entitlements were met, and if there were any procedural irregularities that could invalidate the agreement.

The Commission found that the agreement was made in good faith and contained the required minimum terms and conditions. It determined that the agreement was negotiated in a manner that was fair and reasonable, with both parties engaging in genuine discussions. The Commission also concluded that the agreement covered all the necessary employees and that there were no procedural irregularities in its making. The Commission was satisfied that the agreement complied with the statutory requirements and approved the enterprise agreement for registration.

The Fair Work Commission approved the Parry Street Industries Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Carpentry and Joinery Enterprise Agreement 2020-2023, deeming it to be a modern award. The decision ensures that the terms and conditions set out in the agreement are legally binding and enforceable, providing a framework for the employment relationship between the company and its subcontractors.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established