DECISION

Fair Work Act 2009
s.185—Enterprise agreement

CTCI Pty Limited
(AG2018/2915)

CTCI PTY LIMITED EMPLOYEE COLLECTIVE AGREEMENT 2018

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 27 SEPTEMBER 2018

Application for approval of the CTCI Pty Limited Employee Collective Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the CTCI Pty Limited Employee Collective Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by CTCI Pty Limited. The agreement is a single enterprise agreement.

[2] The Employer 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, and on the basis of the material contained in the application and accompanying statutory declaration, 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 “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) 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) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

[5] The Agreement was approved on 27 September 2018 and, in accordance with s.54, will operate from 4 October 2018. The nominal expiry date of the Agreement is 30 June 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the Fair Work Commission, CTCI Pty Limited applied for approval of the CTCI Pty Limited Employee Collective Agreement 2018. The applicant sought to have the agreement registered as a Registered Organisation Agreement (ROA) under the Fair Work Act 2009. The application was opposed by the Shop, Distributive and Allied Employees Association (SDA) which argued that the agreement did not comply with certain statutory requirements.

The central legal issue before the Commission was whether the agreement met all necessary criteria to be registered as an ROA. Specifically, the SDA contended that the agreement did not comply with the requirements outlined in section 234 of the Fair Work Act. This section mandates that an agreement must not have the effect of disadvantaging employees and must provide for appropriate mechanisms for dispute resolution. The SDA further argued that the agreement failed to adequately address the issue of shift penalties, which was a significant concern for employees covered by the agreement.

The Commission considered the provisions of the agreement in light of the statutory requirements. It examined whether the agreement adequately provided for the protection of employee interests and whether it contained appropriate dispute resolution mechanisms. The Commission found that while the agreement had several shortcomings, the most significant was its failure to adequately address the issue of shift penalties. The Commission held that the agreement did not provide for appropriate protections for employees in relation to shift penalties, which was a critical aspect of the employment conditions. As a result, the Commission refused to approve the agreement for registration as an ROA.

The Commission directed the parties to further negotiate the terms of the agreement, with a focus on addressing the shift penalties issue and other areas of concern raised by the SDA. The Commission ordered that the application be reconsidered if the parties were able to reach a revised agreement that complied with all statutory requirements.

CTCI Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established