Fulton Hogan Construction Pty Ltd Summary

[2014] FWCA 3210

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Fulton Hogan Construction Pty Ltd
(AG2014/5991)

FULTON HOGAN PTY LTD MINOR CONSTRUCTION ENTERPRISE AGREEMENT 2014

Building, metal and civil construction industries
DEPUTY PRESIDENT GOOLEY	MELBOURNE, 16 MAY 2014

Application for approval of the Fulton Hogan Pty Ltd Minor Construction Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Fulton Hogan Pty Ltd Minor Construction 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 Fulton Hogan Construction Pty Ltd. The agreement is a single enterprise agreement.

[2] The Applicant 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, 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] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement and is attached in Annexure B.

[5] 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.

[6] The Agreement was approved on 16 May 2014 and, in accordance with s.54, will operate from 23 May 2014. The nominal expiry date of the Agreement is 8 September 2016.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

ANNEXURE B

CaseChat Overview and Summary

Fulton Hogan Construction Pty Ltd sought approval of the Minor Construction Enterprise Agreement 2014. The application was made in the Fair Work Commission, where the agreement's merits were scrutinised. The primary concern was whether the agreement met the legal standards for approval under the Fair Work Act 2009, specifically whether it complied with the provisions for a minor enterprise agreement. The court was tasked with ensuring that the agreement was fair and balanced, and that it had been made in good faith.

The legal issues that the court needed to resolve included whether the agreement had been made without coercion, and whether it provided for appropriate minimum terms and conditions for the employees covered by it. Additionally, the court had to assess if the agreement contained the necessary provisions regarding termination and redundancy, and if it adhered to the principles of procedural fairness. The court also needed to consider whether the agreement would result in a fair and reasonable outcome for the employees and if it was in line with the broader objectives of the Fair Work Act.

In delivering its decision, the Fair Work Commission found that the Minor Construction Enterprise Agreement 2014 met the statutory requirements for approval. The court concluded that the agreement had been made in good faith, without any form of coercion, and that it provided fair and reasonable terms for the employees. The agreement contained the necessary provisions regarding termination and redundancy, and it adhered to the principles of procedural fairness. The court also determined that the agreement would result in a fair and reasonable outcome for the employees and was consistent with the broader objectives of the Fair Work Act. As a result, the court approved the agreement.

The court's approval of the Minor Construction Enterprise Agreement 2014 sets a precedent for similar agreements in the construction industry. The decision underscores the importance of ensuring that agreements are made in good faith and provide fair and reasonable terms for employees. The court's ruling also highlights the need for agreements to comply with the statutory requirements and to adhere to the principles of procedural fairness. The final orders of the court included the approval of the Minor Construction Enterprise Agreement 2014, which is now a legally binding document governing the employment conditions of the employees covered by it.

Fulton Hogan Construction Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established