DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2017/6412)

GVK NSW REO PTY LTD / CFMEU COLLECTIVE AGREEMENT 2017-2018

Building, metal and civil construction industries
COMMISSIONER GREGORY	MELBOURNE, 3 JANUARY 2018

Application for approval of the GVK NSW Reo Pty Ltd / CFMEU Collective Agreement 2017-2018.

[1] An application has been made for approval of an enterprise agreement known as the GVK NSW Reo Pty Ltd / CFMEU Collective Agreement 2017-2018 (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.

[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 is approved and, in accordance with s.54 of the Act, will operate from 10 January 2018. The nominal expiry date of the Agreement is 31 December 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case before the Fair Work Commission involved an application by GVK NSW Reo Pty Ltd for approval of a collective agreement with the Construction, Forestry, Mining and Energy Union (CFMEU). The parties were seeking to establish terms and conditions for employment under a specific agreement, and the dispute centred on whether the proposed agreement met the legal requirements for approval under Australian labour laws. The Fair Work Commission, which is the primary workplace relations tribunal in Australia, was responsible for assessing the application and determining the validity of the agreement.

The key legal issues addressed by the Commission were whether the collective agreement complied with the Fair Work Act 2009, specifically whether it was a good faith bargaining tool, and if the agreement met the statutory criteria for approval. The Commission also had to consider if the agreement provided for proper dispute resolution mechanisms and if it adhered to the principles of good faith bargaining as required by the Act. Additionally, the Commission evaluated whether the agreement was in the best interests of the employees and if it provided for fair and reasonable terms of employment.

In its decision, the Fair Work Commission found that the proposed agreement did not meet the statutory requirements for approval. The Commission determined that there were significant deficiencies in the good faith bargaining process, which meant the agreement could not be considered a genuine product of negotiations between the parties. Furthermore, the Commission highlighted that the agreement failed to provide adequate protections for employees and did not sufficiently address key employment terms. As a result, the Commission refused to approve the collective agreement, emphasising the importance of adhering to the principles of good faith bargaining and the statutory criteria set out in the Fair Work Act.

The Commission’s decision concluded with the formal refusal to approve the GVK NSW Reo Pty Ltd / CFMEU Collective Agreement 2017-2018. The Commission directed the parties to either revise the agreement to address the identified deficiencies or to engage in further negotiations to establish a compliant agreement. This ruling underscored the importance of ensuring that collective agreements are the product of genuine negotiations and that they adequately protect the interests of employees under Australian labour law.

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