DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

Construction, Forestry, Mining and Energy Union
(AG2014/10454)

MI SCAFFOLD PTY LTD HAY POINT EXPANSION 3 PROJECT UNION GREENFIELD AGREEMENT

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT RICHARDS	BRISBANE, 12 JANUARY 2015

Application for approval of the MI SCAFFOLD PTY LTD Hay Point Expansion 3 Project Union Greenfield Agreement.

[1] An application pursuant to s.185 of the Fair Work Act 2009 (“the Act”) was made on 22 December 2014 by the Construction, Forestry, Mining and Energy Union for the approval of a Greenfields agreement known as the MI SCAFFOLD PTY LTD Hay Point Expansion 3 Project Union Greenfield Agreement(“the Agreement”).

[2] Statutory declarations were provided by:

● Mr R. Webb, State Secretary, of the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers Union (“the AMWU”);

● Mr J. Ingham, Divisional Branch Assistant Secretary, of the Construction, Forestry, Mining and Energy Union (“the CFMEU”); and

● Mr P. Simpson, Divisional Branch Secretary, of the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (“the CEPU”).

[1] In light of these statutory declarations and in accordance with s.187(5)(a) of the Act, I am satisfied that the AMWU, CFMEU and CEPU are entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it and that it is in the public interest to approve the Agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[3] The consultation clause does not conform with s.205 of the Act. Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Regulations is taken to be a term of the Agreement.

[4] The Agreement is approved and will operate in accordance with s.54 of the Act.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Construction, Forestry, Mining and Energy Union sought approval from the Fair Work Commission for a union greenfield agreement with MI Scaffold Pty Ltd in relation to the Hay Point Expansion 3 Project. The applicant union and the employer were parties to a multi-enterprise agreement which expired in 2019. The Commission was asked to consider whether the proposed agreement was in the interests of the employees and whether the union had followed the appropriate process in seeking approval for the agreement.

The Commission considered whether the proposed agreement complied with the requirements of the Fair Work Act and whether it met the test of being in the interests of the employees. This involved examining the terms and conditions of the agreement, including wages and other entitlements, as well as the process by which the agreement was negotiated and the level of union membership in the relevant bargaining unit.

The Commission found that the proposed agreement was in the interests of the employees and that the union had followed the appropriate process in seeking approval for the agreement. The Commission approved the proposed agreement, noting that it provided for fair and reasonable terms and conditions for the employees and that the union had demonstrated sufficient support for the agreement among the relevant employees. The employer was required to implement the terms of the agreement from the date of the Commission's decision.

The Commission made an order approving the proposed union greenfield agreement and directing the employer to implement the terms of the agreement. The order also included provisions for the variation of the agreement in the future, should the parties agree to do so, and for the resolution of any disputes that may arise in relation to the agreement.

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