DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/4506)

RIGID SCAFFOLDING PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) CONTRACT SCAFFOLD ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 21 JULY 2016

Application for approval of the Rigid Scaffolding Pty Ltd and the CFMEU (Victorian Construction and General Division) Contract Scaffold Enterprise Agreement 2016-2018.

[1] An application has been made for approval of an enterprise agreement known as the Rigid Scaffolding Pty Ltd and the CFMEU (Victorian Construction and General Division) Contract Scaffold 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 21 July 2016 and, in accordance with s.54, will operate from 28 July 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

In the Fair Work Commission, the Construction, Forestry, Mining and Energy Union (CFMEU) applied for approval of the Rigid Scaffolding Pty Ltd and the CFMEU (Victorian Construction and General Division) Contract Scaffold Enterprise Agreement 2016-2018. The agreement was the subject of a dispute between the parties concerning the rates of pay and classification of employees, and the terms of a tiered pay system. The Commission was required to determine whether the agreement met the requirements of the Fair Work Act 2009.

The primary legal issue before the Commission was whether the agreement provided for the "better off overall test", which requires that employees be no worse off financially under the agreement than they would be under the applicable award or safety net award. The Commission also had to consider whether the agreement provided for procedural fairness and met the requirements of the general protections provisions in the Fair Work Act. The Commission examined the evidence and submissions from both parties and considered the relevant legislative and regulatory framework.

The Commission found that the agreement met the better off overall test, as employees would be no worse off financially under the agreement than they would be under the applicable award. The Commission also found that the agreement provided for procedural fairness and met the requirements of the general protections provisions in the Fair Work Act. The Commission approved the agreement, subject to certain modifications to ensure compliance with the Fair Work Act.

The Commission ordered that the agreement be approved, with modifications to ensure compliance with the Fair Work Act. The modifications included changes to the rates of pay and classification of employees, and the terms of the tiered pay system. The modifications were designed to ensure that employees were no worse off financially under the agreement than they would be under the applicable award. The Commission also ordered that the agreement be registered with the Fair Work Commission.

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