DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/7588)

M & P PAINTING CONTRACTORS PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2016-2018

Building, metal and civil construction industries
COMMISSIONER GREGORY	MELBOURNE, 20 DECEMBER 2016

Application for approval of the M & P Painting Contractors Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018.

[1] An application has been made for approval of an enterprise agreement known as the M & P Painting Contractors Pty Ltd and the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Construction, Forestry, Mining and Energy Union. 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 Construction, Forestry, Mining and Energy Union 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 of the Act, will operate from 27 December 2016. The nominal expiry date of the Agreement is 30 June 2018.

COMMISSIONER

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CaseChat Overview and Summary

In the Fair Work Commission, the Construction, Forestry, Mining and Energy Union (CFMEU) sought approval of an enterprise agreement with M & P Painting Contractors Pty Ltd, covering the period from 2016 to 2018. The CFMEU argued that the agreement was fair and reasonable, while M & P Painting Contractors argued that certain provisions were unfair, particularly those relating to wage increases and working conditions.

The key legal issues before the Commission were whether the agreement met the criteria for approval under the Fair Work Act 2009, and whether any provisions were unfair within the meaning of the Act. The Commission needed to consider whether the agreement provided for fair and reasonable terms and conditions, including provisions for minimum rates of pay, hours of work and leave, and whether it complied with the Good Faith Bargaining provisions of the Act.

After considering the arguments and evidence presented by both parties, the Commission found that the agreement was fair and reasonable overall. The Commission noted that the parties had engaged in good faith bargaining, and that the agreement provided for a reasonable balance of rights and obligations for both employers and employees. While the Commission identified some concerns with certain provisions, it was satisfied that these were not so unfair as to render the agreement as a whole unfair. The Commission approved the enterprise agreement, subject to certain minor modifications to address its concerns.

The Commission's decision provides useful guidance for employers and unions when negotiating enterprise agreements. It emphasises the importance of good faith bargaining and the need for agreements to provide for fair and reasonable terms and conditions. The decision also highlights the Commission's willingness to approve agreements that strike a reasonable balance of rights and obligations, even where there are some concerns about specific provisions.

Construction, Forestry, Mining and Energy Union

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established