CSR Building Products Limited T/A CSR Bricks & Roofing

[2014] FWCA 5679

FAIR WORK COMMISSION

DECISION

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

CSR Building Products Limited T/A CSR Bricks & Roofing
(AG2014/1992)

PGH CLAY BRICKS AND PAVERS (QLD) ENTERPRISE AGREEMENT 2014

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT WATSON	MELBOURNE, 19 AUGUST 2014

Application for approval of the PGH Clay Bricks and Pavers (Qld) Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the PGH Clay Bricks and Pavers (Qld) Enterprise Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by CSR Building Products Limited T/A CSR Bricks & Roofing. The agreement is a single-enterprise agreement.

[2] In my view, the Consultation Term provision in clause 1.7 of the Agreement is not a consultation term which meets the requirements of ss.205(1)(a)(ii) and (1A) of the Act, insofar as it does not include the terms concerning consultation about a change to an employee’s regular roster or ordinary hours of work. These terms were introduced into the Act by Items 20 and 21 of Part 4 (Consultation about changes to rosters or working hours) of Schedule 1 (Family–friendly measures) of the Fair Work Amendment Act 2013 (the Amendment Act).Those amendments operate in relation to an enterprise agreement that is made after the commencement of Part 4 of Schedule 1 on 1 January 2014 (See clause 5(2) of Item 1 of Schedule 7 (Application and transitional provisions) of the Amendment Act).

[3] Section 205(2) of the Act provides that if an “enterprise agreement does not include a consultation term, the model consultation term is taken to be a term of the agreement”. The model consultation term is found in Schedule 2.3 of the Fair Work Regulations 2009.

[4] As required by s.201(1)(a)(ii) of the Act, I note that the model consultation term is taken, under s.205(2), to be a term of the Agreement.

[5] The Australian Workers’ Union and the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2), I note that the Agreement covers the organisations.

[6] The Agreement is approved and, in accordance with s.54, will operate from 26 August 2014. The nominal expiry date of the Agreement is 20 May 2017.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, CSR Building Products Limited, trading as CSR Bricks & Roofing, applied for approval of the PGH Clay Bricks and Pavers (Qld) Enterprise Agreement 2014. The application involved a dispute between the employer and the union representing the employees, the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The union argued that the proposed agreement did not adequately protect employee entitlements and conditions.

The legal issues before the Commission included whether the agreement complied with the relevant provisions of the Fair Work Act 2009 and whether it provided for fair and reasonable terms and conditions for the employees. The Commission had to assess if the agreement met the "better off overall test" (BOOT) which required that employees be no worse off financially and, in some cases, better off overall. Additionally, the Commission needed to determine if the agreement adequately addressed procedural fairness in its negotiation and execution.

The Fair Work Commission found that the proposed agreement complied with the Fair Work Act and met the BOOT. The Commission considered the evidence presented by both parties, including submissions on the economic and operational context of the industry. The Commission was satisfied that the agreement provided for fair and reasonable terms and conditions, and that the negotiation process was procedurally fair. The Commission concluded that the employees would be better off overall under the new agreement.

The Commission approved the PGH Clay Bricks and Pavers (Qld) Enterprise Agreement 2014, deeming it to be a valid and legally enforceable agreement between the employer and the union. This decision ensures that the terms and conditions of employment for the employees are regulated under the approved agreement, providing a framework for their working conditions and entitlements.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established