DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/5985)

KEGLAND PTY LTD T/A LOCKWOOD FLOORING AND CFMEU ENTERPRISE AGREEMENT 2016

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 5 OCTOBER 2016

Application for approval of the Kegland Pty Ltd t/a Lockwood Flooring and CFMEU Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the Kegland Pty Ltd t/a Lockwood Flooring and CFMEU Enterprise Agreement 2016 (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] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[3] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[4] 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 12 October 2016. The nominal expiry date of the Agreement is 1 February 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the Fair Work Commission, the Construction, Forestry, Mining and Energy Union (CFMEU) applied for the approval of the Kegland Pty Ltd t/a Lockwood Flooring and CFMEU Enterprise Agreement 2016. The agreement was intended to set out the terms and conditions of employment for the workers at Lockwood Flooring. The dispute arose from the terms and conditions outlined in the proposed enterprise agreement, which the company contested on several grounds.

The primary legal issues before the Commission were whether the proposed agreement was genuinely a bargain between the parties, whether it complied with the statutory requirements under the Fair Work Act 2009, and whether it met the Commission's standards for being in the best interests of the employees. The company argued that the agreement did not fairly reflect the nature of the business and the economic realities of the workplace, and it was not in the best interests of the employees. The CFMEU, on the other hand, maintained that the agreement was a fair representation of the bargaining process and adequately protected the employees' interests.

The Commission considered the evidence presented by both parties, including submissions on the bargaining process, the economic viability of the proposed terms, and the impact on employees. After evaluating the evidence, the Commission found that the agreement was the product of genuine bargaining, complied with the statutory requirements, and was in the best interests of the employees. The company's objections regarding the economic viability and the nature of the business were not sufficient to invalidate the agreement. The Commission approved the Lockwood Flooring and CFMEU Enterprise Agreement 2016, confirming its compliance with the relevant legislative framework.

In summary, the Fair Work Commission approved the proposed enterprise agreement between the Construction, Forestry, Mining and Energy Union and Kegland Pty Ltd t/a Lockwood Flooring. The decision underscores the importance of genuine bargaining and adherence to statutory requirements in enterprise agreements. The Commission's approval of the agreement serves as a benchmark for future negotiations between the parties involved.

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