DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/3776)

ELTRAX PTY LTD AND CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2016 - 2018

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 7 JULY 2016

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

[1] An application has been made for approval of an enterprise agreement known as the Eltrax Pty Ltd and 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 7 July 2016 and, in accordance with s.54, will operate from 14 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 applied for the approval of the Eltrax Pty Ltd and CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018. The agreement in question was intended to govern the employment conditions of Eltrax Pty Ltd employees within the union's coverage. The primary dispute involved the interpretation and application of the Fair Work Act 2009 concerning the fairness and compliance of the proposed agreement with the statutory requirements.

The legal issues before the court were whether the agreement met the criteria for being deemed a "single interest employer agreement" and whether it complied with the procedural and substantive requirements under the Fair Work Act. Specifically, the court had to examine if the agreement was made in good faith, if it provided for terms and conditions that were no less favourable than the relevant award or safety net award, and if it adhered to the statutory process for the making of enterprise agreements.

The court held that the application was valid and that the agreement was indeed a single interest employer agreement, meeting all the statutory requirements. The court found that the agreement had been made in good faith and provided terms and conditions that were at least as favourable as those provided by the relevant award or safety net award. The court further determined that the procedural requirements for the making of the agreement were properly followed. Consequently, the court approved the enterprise agreement, finding it to be compliant with the Fair Work Act.

The Fair Work Commission approved the Eltrax Pty Ltd and CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018, confirming its compliance with the Fair Work Act. The agreement was to be registered and would govern the employment conditions of the employees as per the terms set out in the document.

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