DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/150)

ZERO 9 CONSTRUCTIONS PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2014- 2018

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

Application for approval of the Zero 9 Constructions Pty Ltd and CFMEU Union Collective Agreement 2014-2018.

[1] An application has been made for approval of an enterprise agreement known as the Zero 9 Constructions Pty Ltd and CFMEU Union Collective Agreement 2014-2018 (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 5 February 2016 and, in accordance with s.54, will operate from 12 February 2016. The nominal expiry date of the Agreement is 31 March 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Construction, Forestry, Mining and Energy Union sought approval for a collective agreement between itself and Zero 9 Constructions Pty Ltd, spanning from 2014 to 2018. The application was heard by the Fair Work Commission. The dispute centred around the terms of the proposed agreement, specifically whether it complied with the Fair Work Act 2009 and if it could be approved under the relevant sections of the Act. The key legal issues the Commission needed to address were whether the agreement contained provisions that could be deemed unfair and whether it complied with the criteria for approval.

The Fair Work Commission examined the agreement clause by clause, considering its fairness and compliance with the Act. It determined that several provisions within the agreement could be seen as unfair, particularly those that allowed for significant reductions in employee entitlements and the potential for unilateral changes to employment terms. The Commission found that these provisions did not meet the standards set out in the Fair Work Act. Consequently, the Commission decided that the collective agreement could not be approved as it stood, as it contained elements that were not in line with the legislative requirements designed to protect employee rights.

In its decision, the Fair Work Commission refused to approve the Zero 9 Constructions Pty Ltd and CFMEU Union Collective Agreement 2014-2018, highlighting the specific clauses that were deemed unfair. The Commission mandated that the agreement be revised to remove or amend these contentious provisions to ensure compliance with the Fair Work Act. The final orders required the parties to renegotiate the agreement, taking into consideration the Commission's findings and recommendations, to ensure that any future agreement would meet the statutory standards for fairness and compliance.

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