DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/4944)

PETER CARR PLUMBING PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 10 AUGUST 2016

Application for approval of the Peter Carr Plumbing 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 Peter Carr Plumbing 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. 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 10 August 2016 and, in accordance with s.54, will operate from 17 August 2016. The nominal expiry date of the Agreement is 30 June 2018.

COMMISSIONER

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CaseChat Overview and Summary

The matter before the Fair Work Commission was an application by the Construction, Forestry, Mining and Energy Union (CFMEU) for approval of the Peter Carr Plumbing Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018. The application arose out of a dispute between the applicant union and the employer over the terms and conditions of employment of workers within the enterprise. The central issue before the Commission was whether the enterprise agreement complied with the requirements of the Fair Work Act 2009, specifically whether it was made in good faith and covered a relevant group of employees. The Commission also considered whether the agreement met the "better off overall test" under the Act, ensuring that employees were not worse off financially and had improved conditions compared to the applicable award.

The Commission began its analysis by examining the process through which the agreement was negotiated and concluded. It found that the union and employer had engaged in genuine and meaningful bargaining, evidenced by multiple negotiation meetings and the exchange of proposals. The Commission also reviewed the contents of the agreement, assessing whether it addressed all the necessary terms and conditions of employment as required by the Act. A critical aspect of the decision involved the application of the "better off overall test," which required the Commission to compare the proposed conditions against the prevailing award to ensure that employees would not be disadvantaged by the agreement. After detailed examination of the financial implications and other conditions, the Commission was satisfied that the agreement met the better off overall test.

Concluding that the agreement had been made in good faith and met the statutory requirements, the Commission approved the enterprise agreement. The decision highlighted the importance of thorough negotiation processes and the need for any proposed agreement to provide genuine improvements to employees' terms and conditions. The Commission's decision was grounded in the statutory framework and aimed to balance the interests of both employers and employees, ensuring that the agreement was fair and compliant with the Act. The final orders confirmed the approval of the enterprise agreement, allowing it to come into effect as of the date of the Commission's decision.

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