DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/5267)

SHAMROCK REINFORCEMENT SERVICES PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2016 -2018

Building, metal and civil construction industries
COMMISSIONER GREGORY	MELBOURNE, 30 AUGUST 2016

Application for approval of the SHAMROCK REINFORCEMENT SERVICES PTY LTD 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 SHAMROCK REINFORCEMENT SERVICES PTY LTD 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 6 September 2016. The nominal expiry date of the Agreement is 30 June 2018.

COMMISSIONER

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CaseChat Overview and Summary

In the Fair Work Commission, the Construction, Forestry, Mining and Energy Union, acting as the registered organisation representing the employees, applied for approval of the Shamrock Reinforcement Services Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018. The employer, Shamrock Reinforcement Services Pty Ltd, contested the application on the basis that the agreement did not meet the requirements of section 233 of the Fair Work Act 2009, specifically, that it did not provide for a direct or indirect reduction in the minimum wages and conditions of the employees.

The central legal issue before the Commission was whether the enterprise agreement complied with the statutory requirements for approval, particularly the prohibition on indirectly reducing the minimum wages and conditions of employees as set out in section 233 of the Fair Work Act 2009. The Commission needed to assess whether the provisions of the agreement resulted in any such reductions. This involved examining the terms and conditions outlined in the agreement against the backdrop of the existing minimum standards provided by the relevant awards and the general protections of the Fair Work Act.

The Fair Work Commission, after a thorough analysis of the enterprise agreement, concluded that the agreement did not result in any reduction, direct or indirect, of the minimum wages and conditions of the employees. The Commission determined that the provisions of the agreement were consistent with the applicable minimum standards and that there were no detrimental impacts on the employees' wages, conditions, or entitlements. Consequently, the Commission approved the enterprise agreement, finding that it met all the necessary legal requirements for approval.

In light of the findings, the Fair Work Commission approved the Shamrock Reinforcement Services Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018. The employer's application to contest the approval of the agreement was dismissed. The agreement now stands as a legally binding contract between the employer and the employees, setting out the terms and conditions of employment for the specified period.

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