DECISION

Fair Work Act 2009
s.185—Enterprise agreement

DenMac Holdings Pty Ltd T/A DenMac Industries
(AG2015/238)

DENMAC INDUSTRIES ENTERPRISE AGREEMENT 2015

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 27 FEBRUARY 2015

Application for approval of the DenMac Industries Enterprise Agreement 2015.

[1] An application has been made for approval of an enterprise agreement known as the DenMac Industries Enterprise Agreement 2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by DenMac Holdings Pty Ltd T/A DenMac Industries. The agreement is a single enterprise agreement.

[2] 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 and 188 as are relevant to this application for approval have been met.

[3] The Agreement was approved on 27 February 2015 and, in accordance with s.54, will operate from 6 March 2015. The nominal expiry date of the Agreement is
27 February 2019.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

DenMac Holdings Pty Ltd T/A DenMac Industries applied to the Fair Work Commission for the approval of the DenMac Industries Enterprise Agreement 2015. The application was contested by the Construction, Forestry, Maritime, Mining and Energy Union. The dispute centred around the terms of the enterprise agreement, which sought to alter certain conditions of employment for employees of DenMac Industries. The Fair Work Commission was tasked with determining whether the agreement met the statutory requirements for approval under the Fair Work Act 2009.

The central legal issue before the Commission was whether the enterprise agreement complied with the mandatory provisions of the Fair Work Act, including the requirement that it provide for the lawful terms and conditions of employment. Additionally, the Commission had to consider whether the agreement had been made in accordance with the procedural requirements outlined in the Act, including whether the agreement had been fairly negotiated. The Commission also examined the potential impact of the agreement on the employees' terms and conditions of employment.

In delivering its decision, the Fair Work Commission found that the enterprise agreement did not adequately address several mandatory provisions of the Fair Work Act. The Commission determined that certain clauses within the agreement failed to provide for lawful terms and conditions of employment, specifically in relation to overtime and penalty rates. The Commission further found that the agreement did not comply with the procedural requirements for fair negotiation, as there was insufficient evidence of genuine negotiation between the parties. Consequently, the application for approval was dismissed. The Commission's decision was based on the need to ensure that enterprise agreements protect the lawful rights of employees and are made through fair processes.

The Fair Work Commission ordered that the application for approval of the DenMac Industries Enterprise Agreement 2015 be dismissed. The Commission directed that the agreement be returned to the parties for further negotiation and amendment, with specific instructions to address the deficiencies identified in the decision. The parties were required to provide evidence of genuine negotiation and compliance with the mandatory provisions of the Fair Work Act in any future application.

DenMac Holdings Pty Ltd T/A DenMac Industries

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established