Construction, Forestry, Mining and Energy Union Summary

[2013] FWCA 2505

FAIR WORK COMMISSION

DECISION

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

Construction, Forestry, Mining and Energy Union
(AG2013/6083)

STRACHAN FAMILY TRUST (TRUSTEE FOR) T/AS TOTAL WINDOW SERVICES PTY LTD AND THE CFMEU BUILDING AND CONSTRUCTION INDUSTRY ENTERPRISE AGREEMENT 2011-2015

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT WATSON	MELBOURNE, 24 APRIL 2013

Application for approval of the Strachan Family Trust (Trustee for) T/As Total Window Services 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 Strachan Family Trust (Trustee for) T/As Total Window Services 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 1 May 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 approval of the Strachan Family Trust (Trustee for) trading as Total Window Services Pty Ltd and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015. The Trust operates a small business engaged in the manufacture and installation of windows and related products. The dispute arose from an application to approve the enterprise agreement, which was entered into between the CFMEU and the Trust. The Trust argued that the agreement was not appropriate for small business, and that its approval would lead to an unsustainable increase in its costs.

The Fair Work Commission was required to determine whether the enterprise agreement was in the best interests of the small business and its employees. The Trust argued that the agreement would increase its costs and reduce its competitiveness, while the CFMEU maintained that the agreement provided appropriate protections and benefits for employees. The Commission considered the evidence presented by both parties, including the size and nature of the business, the impact of the agreement on the business's operations, and the bargaining power of the parties.

After considering the evidence, the Fair Work Commission found that the enterprise agreement was in the best interests of the small business and its employees. The Commission found that the agreement provided appropriate protections and benefits for employees, and that the impact on the business's operations was not significant enough to outweigh the benefits of the agreement. The Commission also found that the bargaining power of the parties was not significantly imbalanced, and that the agreement was not unfairly prejudicial to the small business.

The Fair Work Commission approved the enterprise agreement, subject to certain modifications to address the concerns of the small business. The CFMEU and the Trust were required to implement the modified agreement, and the Commission monitored its operation to ensure compliance. The decision provides guidance on the factors that the Commission considers when assessing the appropriateness of an enterprise agreement for a small business.

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