DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/5002)

B & D RIGGING PTY LTD & V & S RIGGING PTY LTD T/AS SVENTEK STEEL CONSTRUCTIONS PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) RIGGER/STEEL ERECTOR ENTERPRISE AGREEMENT 2016 -2018

Building, metal and civil construction industries
COMMISSIONER ROE	SYDNEY, 15 AUGUST 2016

Application for approval of the B & D RIGGING PTY LTD & V & S RIGGING PTY LTD T/As SVENTEK STEEL CONSTRUCTIONS PTY LTD and the CFMEU (Victorian Construction and General Division) Rigger/Steel Erector Enterprise Agreement 2016 -2018.

[1] An application has been made for approval of an enterprise agreement known as B & D RIGGING PTY LTD & V & S RIGGING PTY LTD T/As SVENTEK STEEL CONSTRUCTIONS PTY LTD and the CFMEU (Victorian Construction and General Division) Rigger/Steel Erector 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[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 was approved on 15 August 2016 and, in accordance with s.54, will operate from 22 August 2016. The nominal expiry date of the Agreement is 30 June 2018.

COMMISSIONER

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CaseChat Overview and Summary

The matter involved an application by the Construction, Forestry, Mining and Energy Union (CFMEUA) and the B & D Rigging Pty Ltd and V & S Rigging Pty Ltd t/as Sventek Steel Constructions Pty Ltd (the employer) for the approval of their Enterprise Agreement. The application was heard in the Fair Work Commission. The dispute centred on whether the agreement complied with the statutory requirements of the Fair Work Act 2009, particularly concerning the classification and pay rates for riggers and steel erectors within the construction industry. The CFMEU argued that the proposed agreement was fair and reasonable, while the employer claimed that the union had not fairly represented its members and that certain provisions of the agreement were unreasonable.

The central legal issue before the Commission was whether the Enterprise Agreement was a "registerable" agreement under the Fair Work Act, which requires that such agreements be fair and reasonable in all respects. This involved scrutinising the agreement's terms and conditions, including the classification and pay rates for riggers and steel erectors, to determine if they complied with the statutory criteria. The Commission also had to consider whether the union had genuinely engaged with its members in the process of negotiating the agreement.

The Fair Work Commission found that the Enterprise Agreement met the necessary criteria for approval. The Commission noted that the agreement had been negotiated in good faith and that the union had genuinely engaged with its members. The pay rates and conditions proposed in the agreement were considered to be fair and reasonable, taking into account industry standards and the specific needs of the employees covered by the agreement. The Commission was satisfied that the union had properly represented its members and that the agreement did not contain any unreasonable terms. Consequently, the Commission approved the Enterprise Agreement.

As a result of the Commission's decision, the B & D Rigging Pty Ltd and V & S Rigging Pty Ltd t/as Sventek Steel Constructions Pty Ltd Rigger/Steel Erector Enterprise Agreement 2016-2018 was approved and registered under the Fair Work Act. The agreement will now serve as the binding contract between the employer and the employees covered by the agreement 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