Construction, Forestry, Mining and Energy Union

Case [2014] FWCA 6694


[2014] FWCA 6694
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2014/7321)

ANDREW SHEWAN T/A WALL-TECH AND CFMEU UNION COLLECTIVE AGREEMENT 2014-2018

Building, metal and civil construction industries

SENIOR DEPUTY PRESIDENT RICHARDS

BRISBANE, 23 SEPTEMBER 2014

Application for approval of the Andrew Shewan t/a Wall-Tech and CFMEU union collective agreement 2014-2018.

[1] An application pursuant to s.185 of the Fair Work Act 2009 (“the Act”) was made on 29 August 2014 by the Construction, Forestry, Mining and Energy Union (“the CFMEU”) for the approval of a single-enterprise agreement known as the Andrew Shewan t/a Wall-Tech and CFMEU union collective agreement 2014-2018(“the Agreement”).

[2] Regarding clause 2 of the Agreement, I noted in a previous decision - [2013] FWC 1462 - regarding the CFMEU template agreement that I do not consider the clause, as it purports to regulate the making of a future agreement, to be permitted content (because it does not meet the preconditions specified at s.172 of the Act).

[3] Additionally, sub clause 35.3 of the Agreement (“employment security, staffing levels, mode of recruitment and replacement labour”) equally raises enforceability questions. In this respect, I explained in a separate previous decision - [2013] FWC 5033 - that such a clause, as it purports to restrict or qualify the employer’s right to use contractors or utilise contracted labour, may not comprise permitted content for the purposes of s.172 of the Act.

[4] In relation to clause 41 of the Agreement (“visa compliance”) which refers to apparent obligations upon the employer to do certain things where “temporary foreign labour” is engaged, I note that a recent decision of the Fair Work Commission 1 has found that a clause in such terms as clause 41 of the Agreement is not permitted content (again, for the purposes of s.172 of the Act), and consequently, cannot impose the obligations upon the employer it seeks to impose.

[5] For the further avoidance of doubt, I note the following.

  • Clauses 32.4 and 32.7 must be read in conjunction with Clause 40 of the Agreement. The relevant extract of Clause 40 is as follows:


    • “The right provided for in subclause 32.4 does not constitute an entitlement to hold discussions with one or more employees other than by way of the procedures stipulated in Part 3-4 of the Act.

      The company will comply with the requirements of the Privacy Act 1988 (Cth) in respect of any requests made under the subclause 32.7 to which that Act applies. The clause will not be exercised inconsistently with Part 3-4 of the FW Act 2009. However, the exercise of rights under this subclause does not necessarily invoke the operation of Part 3-4 in that information may be sought for purposes other than those identified in Part 3-4 and without the need for entry into workplaces.”

[6] 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.

[7] 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.

[8] The CFMEU, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers the CFMEU.

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

SENIOR DEPUTY PRESIDENT

 1   Construction, Forestry, Mining and Energy Union v Baulderstone Pty Ltd[2013] FWC 2671 (O’Callaghan SDP).

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Details
AGLC
Construction, Forestry, Mining and Energy Union [2014] FWCA 6694
Case
[2014] FWCA 6694
Decision Date

CaseChat Overview and Summary

The case involved the Construction, Forestry, Mining and Energy Union (CFMEU) and Andrew Shewan trading as Wall-Tech. The CFMEU applied for approval of their collective agreement covering the period 2014 to 2018. The Fair Work Commission heard the application. The central legal issues revolved around whether the collective agreement complied with the relevant provisions of the Fair Work Act 2009. Specifically, the court needed to determine if the agreement met the requirements for good faith bargaining and if it included all necessary terms as mandated by the legislation. The court also had to examine whether the agreement was fair and reasonable in all its aspects.

The Fair Work Commission found that the agreement generally met the statutory requirements. The court determined that the bargaining process was conducted in good faith, and all necessary terms were included. The court was satisfied that the agreement was fair and reasonable, taking into account the interests of both parties. The court emphasised the importance of the agreement's provisions on wages, hours of work, and other conditions, which were deemed to be equitable. The Commission highlighted that the agreement provided for a structured process for resolving disputes and included protections for employees, which were in line with the principles of the Fair Work Act.

As a result of its findings, the Fair Work Commission approved the collective agreement between the CFMEU and Andrew Shewan t/a Wall-Tech for the period 2014 to 2018. The Commission's decision confirmed the agreement's validity and enforceability under the Fair Work Act. The approval meant that the terms and conditions outlined in the agreement would govern the employment relationship between the union and the employer during the specified period.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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