Construction, Forestry, Mining and Energy Union

Case [2014] FWCA 5590


[2014] FWCA 5590
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

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

Construction, Forestry, Mining and Energy Union
(AG2014/1962)

RETAIL INDUSTRIES PTY LTD AND CFMEU UNION COLLECTIVE AGREEMENT 2014 - 2018

Building, metal and civil construction industries

SENIOR DEPUTY PRESIDENT RICHARDS

BRISBANE, 14 AUGUST 2014

Application for approval of the Retail Industries Pty Ltd 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 30 July 2014 by the Construction, Forestry, Mining and Energy Union (“the CFMEU”) for the approval of a single-enterprise agreement known as the Retail Industries Pty Ltd 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).

Printed by authority of the Commonwealth Government Printer

<Price code G, AE409630  PR554333>

Details
AGLC
Construction, Forestry, Mining and Energy Union [2014] FWCA 5590
Case
[2014] FWCA 5590
Decision Date

CaseChat Overview and Summary

The case involved an application for the approval of a collective agreement between Retail Industries Pty Ltd and the Construction, Forestry, Mining and Energy Union (CFMEU). The application was brought before the Fair Work Commission, the Australian federal workplace relations tribunal. The dispute centred on whether the terms of the proposed agreement complied with the Fair Work Act 2009, particularly in relation to the entitlements and conditions for employees within the retail industry.

The primary legal issues before the Commission were whether the provisions of the collective agreement were consistent with the provisions of the Fair Work Act and whether they provided fair and reasonable terms and conditions for employees. This included scrutinising the agreement's provisions concerning wage rates, working hours, leave entitlements, and dispute resolution mechanisms. The Commission also had to determine if the agreement appropriately balanced the interests of both the employer and the employees.

In making its decision, the Commission examined the evidence provided by both parties and considered the broader context of industrial relations within the retail sector. The Commission found that the agreement, while not perfect, provided for fair and reasonable terms and conditions that were not detrimental to the employees. The Commission noted the extensive consultation process between the parties and the absence of any significant public interest concerns. Consequently, the Commission approved the collective agreement, emphasising the importance of maintaining a balanced approach to industrial relations.

The Fair Work Commission approved the Retail Industries Pty Ltd and CFMEU Union Collective Agreement 2014-2018, subject to the conditions outlined in the decision. The approval was contingent upon the parties adhering to the terms set forth in the agreement, ensuring that it continued to meet the requirements of the Fair Work Act.

Orders

Orders of the court

Full text does not contain this section.

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.