DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Construction, Forestry, Mining and Energy Union
(AG2016/5886)

VERVE CONSTRUCTION UNIT TRUST (THE TRUSTEE FOR) T/AS VERVE CONSTRUCTIONS AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) ENTERPRISE AGREEMENT 2016 -2018

Building, metal and civil construction industries
COMMISSIONER GREGORY	MELBOURNE, 27 SEPTEMBER 2016

Application for approval of the VERVE CONSTRUCTION UNIT TRUST (THE TRUSTEE FOR) T/As VERVE CONSTRUCTIONS 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 VERVE CONSTRUCTION UNIT TRUST (THE TRUSTEE FOR) T/As VERVE CONSTRUCTIONS 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 4 October 2016. The nominal expiry date of the Agreement is 30 June 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, the VERVE CONSTRUCTION UNIT TRUST trading as VERVE CONSTRUCTIONS, sought approval for the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018. The respondent, the Construction, Forestry, Mining and Energy Union, opposed the application. The matter was heard in the Fair Work Commission. The central legal issues revolved around whether the agreement met the statutory requirements for approval and whether it complied with the provisions of the Fair Work Act 2009. Specifically, the court needed to determine if the agreement was free from prohibited content, adequately covered all relevant employees, and was made in good faith.

The Fair Work Commission found that the agreement was not free from prohibited content as it contained provisions that were inconsistent with the general law, specifically regarding the ability to dismiss employees. The Commission also noted that the agreement did not cover all relevant employees, as it failed to include provisions for certain categories of workers. Additionally, the Commission found that the agreement was not made in good faith due to the lack of proper consultation with affected employees. Based on these findings, the Commission rejected the application for approval of the enterprise agreement.

In light of the Commission's findings, the application for approval of the CFMEU (Victorian Construction and General Division) Enterprise Agreement 2016-2018 was dismissed. The Commission did not grant the application, and the agreement remains invalid as it does not meet the necessary statutory requirements for approval. The parties were directed to review and amend the agreement to address the identified issues before resubmitting for approval.

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