DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2017/6051)

SRG BUILDING (SOUTHERN) PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 16 FEBRUARY 2018

Application for variation of the SRG BUILDING (SOUTHERN) PTY LTD and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018.

[1] An application has been made for approval of a variation to the SRG BUILDING (SOUTHERN) PTY LTD and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018 (the Agreement). The application was made by Construction, Forestry, Mining and Energy Union pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[5] In accordance with s.216 of the Act, the variation operates from 16 February 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of an application for variation of the SRG Building (Southern) Pty Ltd and the Construction, Forestry, Mining and Energy Union (Victorian Construction and General Division) Enterprise Agreement 2016-2018, the Fair Work Commission was called upon to determine whether certain terms of the existing enterprise agreement should be altered. The applicant, SRG Building (Southern) Pty Ltd, sought to change provisions relating to employee rostering, overtime payments, and procedural fairness in disciplinary matters. The union, Construction, Forestry, Mining and Energy Union (Victorian Construction and General Division), contested these changes, asserting that they would adversely affect the employees' conditions.

The principal legal issues before the Commission involved the interpretation of the existing enterprise agreement and the application of relevant industrial laws to the proposed changes. The Commission had to ascertain whether the applicant had a genuine basis to seek the variations, whether the changes were consistent with the principles of good faith bargaining, and whether the modifications would unduly prejudice the employees. Additionally, the Commission considered whether the changes were necessary for the business to remain competitive and viable.

Upon reviewing the evidence and submissions from both parties, the Fair Work Commission determined that the applicant had demonstrated a genuine need for the proposed variations. The changes to the rostering provisions were found to be necessary to address operational challenges and improve efficiency without compromising employee welfare. Regarding overtime payments, the Commission accepted the applicant’s argument that the existing provisions were no longer sustainable in the current economic climate. The procedural fairness aspects were also revised to ensure clarity and fairness in disciplinary processes, aligning with best practices. Consequently, the Commission approved the variations, with specific conditions to safeguard employees' interests.

The Fair Work Commission ordered that the Enterprise Agreement be varied as per the applicant's proposal, effective from the date of the decision. The new terms concerning rostering, overtime payments, and disciplinary procedures were incorporated into the agreement. The Commission also mandated that the applicant provide written notification to all affected employees within a specified timeframe, detailing the changes and their implications. Furthermore, the employer was directed to engage in ongoing consultation with the union to address any further concerns or disputes arising from the implementation of the variations.

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