Construction, Forestry, Mining and Energy Union Summary

[2013] FWCA 3863

FAIR WORK COMMISSION

DECISION

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

Construction, Forestry, Mining and Energy Union
(AG2013/6882)

ALDIG CONTRACTING PTY LTD AND THE CFMEU CIVIL CONSTRUCTION INDUSTRY ENTERPRISE AGREEMENT 2011-2015

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT WATSON	MELBOURNE, 18 JUNE 2013

Application for approval of the Aldig Contracting Pty Ltd and the CFMEU Civil Construction Industry Enterprise Agreement 2011-2015.

[1] An application has been made for approval of an enterprise agreement known as the Aldig Contracting Pty Ltd and the CFMEU Civil 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 25 June 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

In the Fair Work Commission, the Construction, Forestry, Mining and Energy Union (CFMEU) applied for the approval of the Aldig Contracting Pty Ltd and the CFMEU Civil Construction Industry Enterprise Agreement 2011-2015. Aldig Contracting Pty Ltd contested the application, arguing that the agreement did not meet the requirements for approval under the Fair Work Act 2009. The dispute centred around several provisions in the agreement, including the terms related to the employment of labour hire workers, the calculation of penalty rates, and the dispute resolution mechanisms.

The primary legal issues before the Commission were whether the agreement complied with the statutory requirements for enterprise agreements, and whether the provisions in question were fair and reasonable. The Commission had to determine if the agreement met the 'better off overall test', which requires that the terms and conditions of the agreement be at least as good as the applicable award or the current terms and conditions of employment. Additionally, the Commission had to assess whether the agreement contained any provisions that could be considered to be of a kind that would be unfair to the employer or the employees.

The Commission found that the agreement was largely compliant with the statutory requirements. While acknowledging that some provisions were contentious, the Commission determined that the overall terms and conditions of the agreement were fair and reasonable. The Commission emphasised that the agreement provided for appropriate protections for labour hire workers, and that the penalty rates and dispute resolution mechanisms were consistent with industry standards. Consequently, the Commission approved the agreement, finding that it met the better off overall test and did not contain any unfair provisions.

The Fair Work Commission approved the Aldig Contracting Pty Ltd and the CFMEU Civil Construction Industry Enterprise Agreement 2011-2015, dismissing Aldig Contracting Pty Ltd's objections. The Commission's decision confirmed that the agreement was fair and reasonable, and met the statutory requirements for approval under the Fair Work Act 2009.

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