DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/4893)

PARKINSON ASPHALTING PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ASPHALT ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 9 AUGUST 2016

Application for approval of the Parkinson Asphalting Pty Ltd and the CFMEU (Victorian Construction and General Division) Asphalt Enterprise Agreement 2016-2018.

[1] An application has been made for approval of an enterprise agreement known as Parkinson Asphalting Pty Ltd and the CFMEU (Victorian Construction and General Division) Asphalt 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 9 August 2016 and, in accordance with s.54, will operate from 16 August 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 parties in this matter were the Construction, Forestry, Mining and Energy Union (CFMEUnion) and Parkinson Asphalting Pty Ltd, and the subject of the dispute was the approval of the Asphalt Enterprise Agreement 2016-2018. The matter was heard in the Fair Work Commission, Australia's industrial relations tribunal. The CFMEU sought approval for the agreement under section 233 of the Fair Work Act 2009, arguing that it met the "better off overall test" (BOOT) required for approval.

The legal issues before the Commission involved whether the agreement provided for terms and conditions that were better off overall for the employees covered by the agreement than the applicable award or safety net awards. This required consideration of whether the proposed agreement provided for terms and conditions that were at least as good as the terms and conditions provided for in the relevant awards, and whether the overall package of terms and conditions in the agreement provided for a net benefit to the employees. In addition, the Commission had to consider whether the agreement provided for appropriate mechanisms for the resolution of disputes.

The Commission determined that the agreement met the BOOT, as the overall package of terms and conditions provided for in the agreement was better off for the employees than the applicable awards. The Commission noted that the agreement provided for a number of benefits to employees, including increased wages, improved leave provisions, and better provisions for shift work. The Commission was satisfied that the agreement provided for appropriate mechanisms for the resolution of disputes, and therefore approved the agreement under section 233 of the Fair Work Act.

The Commission ordered that the Asphalt Enterprise Agreement 2016-2018 between the CFMEU and Parkinson Asphalting Pty Ltd be approved as a registered agreement under section 233 of the Fair Work Act. The agreement is to be registered and will be in effect from the date of the Commission's decision until 30 June 2018, unless terminated earlier in accordance with its provisions.

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