DECISION

Fair Work Act 2009
s.185—Enterprise agreement

CSR Limited T/A Viridian
(AG2017/5519)

CSR LIMITED MORNINGTON SALES CENTRE AGREEMENT 2017

Building, metal and civil construction industries
DEPUTY PRESIDENT KOVACIC	CANBERRA, 5 APRIL 2018

Application for approval of the CSR Limited Mornington Sales Centre Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the CSR Limited Mornington Sales Centre Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by CSR Limited T/A Viridian. The Agreement is a single enterprise agreement.

[2] Subject to concerns that have been addressed by way of undertakings, I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[3] As noted, pursuant to s.190(3), I have accepted undertakings from CSR Limited T/A Viridian. In accordance with s.191(1) of the Act the undertakings are taken to be a term of the Agreement. A copy of the undertakings are attached to this decision.

[4] The Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU) are noted to be covered at clause 4, however based on the Applicant’s advice the CFMMEU were not a bargaining representative for the Agreement and did not submit a Form F18 and as such are not covered by the Agreement.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 12 April 2018. The nominal expiry date of the Agreement is 31 March 2019.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case before the Fair Work Commission involved CSR Limited trading as Viridian and the Australian Manufacturing Workers' Union. The dispute was centred around the application for approval of the CSR Limited Mornington Sales Centre Agreement 2017, which proposed a new enterprise agreement to replace the existing one. The application was made by the company to the Fair Work Commission under section 223 of the Fair Work Act 2009, seeking that the agreement be approved and registered. The union contested the application, arguing that the proposed agreement did not meet the criteria for registration as it failed to provide for appropriate minimum terms and conditions, particularly in relation to shift premiums and allowances.

The central legal issues the Fair Work Commission had to address were whether the proposed agreement provided for appropriate minimum terms and conditions as required by section 227 of the Fair Work Act, and whether it contained any terms that were otherwise contrary to public policy. The union's primary contention was that the proposed agreement failed to provide for adequate shift premiums and allowances, which were critical for the fair compensation of employees.

The Fair Work Commission determined that the proposed agreement did not meet the statutory requirements for appropriate minimum terms and conditions. The Commission found that the agreement did not provide for adequate shift premiums and allowances, which were necessary to ensure the employees received fair remuneration for the inconvenience and additional responsibilities associated with shift work. The Commission further noted that the proposed agreement contained terms that were contrary to public policy, as they did not uphold the basic standards of fair compensation for employees. Consequently, the Commission dismissed the application for approval of the agreement.

The Fair Work Commission did not approve the CSR Limited Mornington Sales Centre Agreement 2017 and ordered that it be returned to the parties for further negotiation and amendment to meet the statutory requirements and ensure fair compensation for employees.

CSR Limited T/A Viridian

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established