DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/263)

TOP KNOT CARPENTRY SERVICES PTY LTD / CFMEU COLLECTIVE AGREEMENT 2016-2017

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 18 FEBRUARY 2016

Application for approval of the Top Knot Carpentry Services Pty Ltd / CFMEU Collective Agreement 2016-2017.

[1] An application has been made for approval of an enterprise agreement known as the Top Knot Carpentry Services Pty Ltd / CFMEU Collective Agreement 2016-2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by the 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 18 February 2016 and, in accordance with s.54, will operate from 25 February 2016. The nominal expiry date of the Agreement is 30 June 2017.

COMMISSIONER

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CaseChat Overview and Summary

The matter before the Fair Work Commission concerned an application by the Construction, Forestry, Mining and Energy Union (CFMEU) to approve a collective agreement with Top Knot Carpentry Services Pty Ltd. The CFMEU sought approval for the agreement as a "greenfields" enterprise agreement, which would apply to employees not previously covered by an existing agreement. The dispute centred on whether the agreement met the legal requirements for approval, including the process for its negotiation and the content of the agreement itself. The Fair Work Commission was tasked with determining whether the agreement was fairly and properly negotiated and if it complied with the relevant provisions of the Fair Work Act.

The central legal issues addressed by the Commission were whether the agreement was indeed a "greenfields" enterprise agreement and whether it was negotiated in good faith and under the correct procedures. The Commission also considered whether the agreement's content was consistent with the provisions of the Fair Work Act, including the requirement for the agreement to provide for the pay and conditions of employees. Furthermore, the Commission examined if the agreement met the "better off overall test," ensuring that employees would not be worse off financially under the new agreement compared to their previous conditions.

In its decision, the Commission found that the agreement was properly classified as a "greenfields" enterprise agreement and was negotiated in accordance with the relevant provisions of the Fair Work Act. The Commission determined that the negotiation process was conducted in good faith and that the agreement's content complied with the legal requirements. The Commission also concluded that the agreement met the "better off overall test," as it provided for the pay and conditions of employees without making them worse off. Consequently, the Fair Work Commission approved the collective agreement as a lawful and valid enterprise agreement between Top Knot Carpentry Services Pty Ltd and the CFMEU.

The final orders of the Commission were that the Top Knot Carpentry Services Pty Ltd / CFMEU Collective Agreement 2016-2017 be approved as a lawful and valid enterprise agreement. The agreement was to be registered and enforceable under the Fair Work Act, with effect from the date of the Commission's decision. The parties were directed to provide a copy of the approved agreement to the Fair Work Ombudsman for registration on the Register of Approved Agreements. This decision provided clarity on the legal status of the collective agreement and ensured that the rights and obligations of the parties were properly recognised and enforced.

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