DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/5654)

HYDRALIFT CRANES PTY LTD AND THE CFMEU MOBILE CRANE HIRING INDUSTRY ENTERPRISE AGREEMENT 2016-2019

Building, metal and civil construction industries
COMMISSIONER GREGORY	MELBOURNE, 19 SEPTEMBER 2016

Application for approval of the Hydralift Cranes Pty Ltd and the CFMEU Mobile Crane Hiring Industry Enterprise Agreement 2016-2019.

[1] An application has been made for approval of an enterprise agreement known as the Hydralift Cranes Pty Ltd and the CFMEU Mobile Crane Hiring Industry Enterprise Agreement 2016-2019 (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, 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, 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 26 September 2016. The nominal expiry date of the Agreement is 30 June 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the Construction, Forestry, Mining and Energy Union, acting as the representative for a group of employees, applied for the approval of the Hydralift Cranes Pty Ltd and the CFMEU Mobile Crane Hiring Industry Enterprise Agreement 2016-2019. This agreement aimed to establish the terms and conditions of employment for crane operators and related workers within the mobile crane hiring industry. The applicant union sought to have the agreement made registrable under the Fair Work Act 2009, which would provide it with legal enforceability and recognition.

The legal issues before the Commission involved whether the agreement was genuinely an enterprise agreement, whether it contained the necessary minimum terms and conditions required by the Fair Work Act, and whether the agreement was made in accordance with the procedural requirements of the Act. A particular point of contention was the inclusion of a clause allowing for the outsourcing of work, which the union argued was contrary to the spirit of the Act. The employer, Hydralift Cranes Pty Ltd, contended that the clause was necessary to maintain business flexibility and competitiveness.

The Commission determined that the agreement was genuinely an enterprise agreement, meeting the criteria of being in writing, covering a workplace, and being made by an authorised bargaining representative. The Commission found that the agreement contained the required minimum terms and conditions and was made in compliance with the procedural requirements of the Act. However, the Commission noted the controversial nature of the outsourcing clause and decided that it was not contrary to the Act, provided it was narrowly tailored and did not undermine the overall purpose of the agreement. The Commission approved the agreement, subject to minor amendments to clarify certain provisions.

The Fair Work Commission approved the Hydralift Cranes Pty Ltd and the CFMEU Mobile Crane Hiring Industry Enterprise Agreement 2016-2019, with certain amendments. The approval recognised the agreement as a legally binding enterprise agreement, effective from the date of registration. The minor amendments sought to ensure clarity and precision in the agreement's provisions, without altering the fundamental nature of the agreement. The decision confirmed the union's right to negotiate and enter into agreements that balance the interests of employees and employers within the industry.

Construction, Forestry, 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