Construction, Forestry, Mining and Energy Union Summary

[2013] FWCA 7303

FAIR WORK COMMISSION

DECISION

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

Construction, Forestry, Mining and Energy Union
(AG2013/9485)

FRIENDLY FLOORS PTY LTD AND THE CFMEU BUILDING AND CONSTRUCTION INDUSTRY ENTERPRISE AGREEMENT 2011-2015

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT WATSON	MELBOURNE, 23 SEPTEMBER 2013

Application for approval of the Friendly Floors Pty Ltd 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 Friendly Floors Pty Ltd 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 30 September 2013. The nominal expiry date of the Agreement is 31 March 2015.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Construction, Forestry, Mining and Energy Union (CFMEU) sought approval for the Friendly Floors Pty Ltd and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015. The matter was before the Fair Work Commission, which is the Australian workplace relations tribunal. The primary dispute centred on whether the agreement should be approved as a "single interest employer agreement" and whether it was "in the interests of the employees." The Fair Work Act mandates that the tribunal must consider specific criteria in making its determination.

The central legal issues were whether Friendly Floors Pty Ltd was a "single interest employer," as defined in the Fair Work Act, and whether the agreement was in the interests of the employees. A "single interest employer" is an employer who employs employees in only one industry or occupational group. The tribunal also needed to assess if the agreement met the good faith bargaining requirement and if it complied with the "better off overall test" to ensure employees were not worse off under the new agreement.

The Fair Work Commission found that Friendly Floors Pty Ltd qualified as a single interest employer because it exclusively employed workers within the building and construction industry. The tribunal also determined that the agreement was in the employees' interests, as it provided a fair and balanced set of terms and conditions. The agreement passed the better off overall test, as employees would not be worse off under the new agreement compared to their previous conditions. Consequently, the tribunal approved the agreement, finding it met all the statutory requirements under the Fair Work Act.

The Fair Work Commission granted approval for the Friendly Floors Pty Ltd and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015, recognising it as a single interest employer agreement and determining that it was in the employees' interests. The tribunal's decision was based on the compliance with statutory criteria, including the good faith bargaining requirement and the better off overall test.

Construction, Forestry, Mining and Energy Union

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established