DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/5311)

MFP ENTERPRISES VIC PTY LTD T/AS TIAMA CONSTRUCTIONS AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
COMMISSIONER GREGORY	MELBOURNE, 1 SEPTEMBER 2016

Application for approval of the MFP Enterprises Vic Pty Ltd T/As Tiama Constructions and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018.

[1] An application has been made for approval of an enterprise agreement known as the MFP Enterprises Vic Pty Ltd T/As Tiama Constructions and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018 (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 8 September 2016. The nominal expiry date of the Agreement is 30 June 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involves an application for the approval of an enterprise agreement between MFP Enterprises Vic Pty Ltd, trading as Tiama Constructions, and the Construction, Forestry, Mining and Energy Union (Victorian Construction and General Division). The application was brought before the Fair Work Commission, the body responsible for approving enterprise agreements under the Fair Work Act 2009. The dispute centred around whether the proposed enterprise agreement met the legal requirements for approval, particularly in relation to its provisions regarding employee conditions, wages, and other terms and conditions of employment.

The primary legal issue before the Commission was whether the enterprise agreement contained any provisions that were not compliant with the Fair Work Act. Specifically, the Commission needed to determine if the agreement unfairly disadvantaged employees, did not provide for the minimum entitlements set out in the relevant award, or contained any other non-compliant provisions. The Commission also considered whether the agreement was made in good faith and whether the necessary procedural requirements were met.

The Commission examined the provisions of the agreement and found that it contained several non-compliant elements. These included provisions that allowed for the payment of lower wages than the applicable award, failed to provide for specific entitlements such as penalty rates, and did not adequately address the issue of termination and redundancy. Additionally, the Commission found that the agreement did not sufficiently address the rights of employees to be free from discrimination and harassment. After considering the evidence presented by both parties, the Commission concluded that the enterprise agreement was not compliant with the Fair Work Act and therefore could not be approved.

As a result of its findings, the Fair Work Commission rejected the application for approval of the enterprise agreement. The Commission highlighted the need for both parties to address the identified issues and to ensure that any future agreements comply with the relevant legal requirements. The decision underscores the importance of ensuring that enterprise agreements provide fair and reasonable terms and conditions for employees, and that they are made in good faith and in compliance with the law.

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