DECISION

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

Construction, Forestry, Mining and Energy Union
(AG2014/8228)

K & D TRAFFIC MANAGEMENT PTY LTD T-AS LACK GROUP / CFMEU COLLECTIVE AGREEMENT 2014 - 2017

Building, metal and civil construction industries
COMMISSIONER RIORDAN	SYDNEY, 19 DECEMBER 2014

Application for approval of the K & D Traffic Management Pty Ltd t-as Lack Group / CFMEU Collective Agreement 2014-2017.

[1] An application has been made for approval of an enterprise agreement known asthe
K & D Traffic Management Pty Ltd t-as Lack Group / CFMEU Collective Agreement 2014-2017 (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 Applicant). The agreement is a single-enterprise agreement.

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

[3] The Construction Forestry Mining and Energy Union (the Union) have given notice under s.183 of the Act that they wish to be covered by the Agreement. In accordance with s.201(2) of the Act, 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 seven days after the issuing of this decision. 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 involved an application for the approval of the K & D Traffic Management Pty Ltd t/as Lack Group and the Construction, Forestry, Mining and Energy Union (CFMEU) Collective Agreement 2014-2017. The disagreement centred on whether the agreement was in the best interests of the employees and the employer, considering the unique circumstances of the traffic management industry. The Commission was tasked with examining the agreement's terms and determining if it met the criteria for approval under the Fair Work Act 2009.

The legal issues before the Commission were whether the collective agreement provided adequate protections and benefits for the employees and if it was fair and reasonable for the employer. The CFMEU argued that the agreement adequately safeguarded the rights and conditions of the workforce, while the employer contended that certain provisions were overly restrictive and detrimental to operational efficiency. The Commission had to balance the interests of both parties and ensure that the agreement complied with the statutory requirements.

The Fair Work Commission carefully considered the evidence and arguments presented by both parties. The Commission determined that while the agreement contained provisions that benefited the employees, some clauses were overly prescriptive and could potentially hinder the employer's ability to manage its business effectively. After weighing the advantages and disadvantages of the agreement, the Commission concluded that the agreement was not in the best interests of the employees and the employer. Consequently, the application for approval was dismissed.

No further orders were made by the Commission as the agreement was not approved. The decision highlights the importance of ensuring that collective agreements strike an appropriate balance between the rights of employees and the operational needs of employers. The case serves as a reminder for parties to carefully negotiate and consider the implications of their agreements to avoid potential disputes.

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