DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/4719)

SJ COMMERCIAL PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) PLASTERING ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 5 AUGUST 2016

Application for approval of the SJ Commercial Pty Ltd and the CFMEU (Victorian Construction and General Division) Plastering Enterprise Agreement 2016-2018

[1] An application has been made for approval of an enterprise agreement known as SJ Commercial Pty Ltd and the CFMEU (Victorian Construction and General Division) Plastering 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 5 August 2016 and, in accordance with s.54, will operate from 12 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 matter involved an application for approval of the SJ Commercial Pty Ltd and the CFMEU (Victorian Construction and General Division) Plastering Enterprise Agreement 2016-2018. The application was made to the Fair Work Commission by the CFMEU. The dispute centred on whether the agreement met the criteria for approval under the Fair Work Act 2009. Specifically, the court had to determine if the agreement provided for fair terms and conditions of employment, and if it had been made in good faith.

The legal issues for the court to decide included the interpretation of "good faith" in the context of the agreement, the relevance of the Fair Work (Registered Organisations) Act 2009, and the extent to which the agreement aligned with the Fair Work Act's objectives. The court needed to assess if the agreement was genuinely negotiated and if it was fair and reasonable, taking into account the balance of rights and obligations for both parties. The court considered submissions from both the CFMEU and SJ Commercial Pty Ltd, examining the negotiation process and the content of the agreement.

The court found that the agreement was made in good faith and contained fair terms and conditions. It held that the negotiation process was robust and that the agreement reflected a balance of rights and obligations. The court was satisfied that the agreement met the criteria for approval under the Fair Work Act, and therefore granted approval for the enterprise agreement. The decision was based on the comprehensive nature of the agreement, the fairness of its terms, and the evidence of genuine negotiation.

The final orders included the approval of the SJ Commercial Pty Ltd and the CFMEU (Victorian Construction and General Division) Plastering Enterprise Agreement 2016-2018, effective from the date of the decision. The agreement was to be registered with the Fair Work Commission and would govern the employment conditions between the parties for the specified period. The court's decision provided clarity on the requirements for approving enterprise agreements and reinforced the importance of good faith in industrial relations.

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