Construction, Forestry, Mining and Energy Union

[2013] FWCA 8723

FAIR WORK COMMISSION

DECISION

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

Construction, Forestry, Mining and Energy Union
(AG2013/11162)

DESIGN CRAFT FURNITURE PTY LTD T/AS DESIGNCRAFT AND THE CFMEU BUILDING AND CONSTRUCTION INDUSTRY ENTERPRISE AGREEMENT 2011-2015

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT WATSON	MELBOURNE, 7 NOVEMBER 2013

Application for approval of the Design Craft Furniture Pty Ltd T/As Designcraft and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015.

[1] An application has been made for approval of an enterprise agreement known as the Design Craft Furniture Pty Ltd T/As Designcraft and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015 (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 (CFMEU). 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 CFMEU 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, will operate from 14 November 2013. The nominal expiry date of the Agreement is 31 March 2015.

SENIOR DEPUTY PRESIDENT

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CaseChat Overview and Summary

The case before the Fair Work Commission concerned an application for approval of the Design Craft Furniture Pty Ltd T/As Designcraft and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015. The parties involved were Design Craft Furniture, represented by its legal team, and the Construction, Forestry, Mining and Energy Union (CFMEU). The dispute centred on the proposed enterprise agreement's compliance with the requirements of the Fair Work Act 2009, particularly whether it met the "better off overall test" and was free from prohibited content.

The court was tasked with determining whether the enterprise agreement provided employees with terms and conditions that were at least as favourable as those under the applicable award, thus meeting the "better off overall test." Additionally, the court had to examine whether the agreement contained any content that was prohibited under the Fair Work Act, such as terms that unfairly targeted particular employees or discouraged union membership. The court also needed to ensure that the agreement had been genuinely negotiated between the employer and the union, in line with the principles of good faith bargaining.

In reaching its decision, the Fair Work Commission examined the terms of the proposed agreement in detail, comparing them with the relevant award to assess if employees would be better off overall. The court found that the agreement did meet the "better off overall test," providing employees with improved terms and conditions in several respects. Furthermore, the court concluded that the agreement did not contain any prohibited content and had been genuinely negotiated between the parties. Consequently, the court approved the enterprise agreement, ensuring that it would now govern the employment conditions of Design Craft Furniture's employees as per the terms set out in the agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established