DECISION

Fair Work Act 2009
s.185—Enterprise agreement

G&S Engineering Services Pty Ltd
(AG2015/1840)

G&S ENGINEERING SERVICES PTY LTD MAINTENANCE AND MINOR CONSTRUCTION AGREEMENT (QLD) 2014-2016

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT DRAKE	SYDNEY, 6 MARCH 2015

Application for approval of the G&S Engineering Services Pty Ltd Maintenance and Minor Construction Agreement (Qld) 2014-2016.

[1] An application has been made for approval of an enterprise agreement known as the G&S Engineering Services Pty Ltd Maintenance and Minor Construction Agreement (Qld) 2014-2016 (the Agreement). The application was made pursuant to s185 of the Fair Work Act 2009 (the Act). It has been made by G&S Engineering Services. The agreement is a single enterprise agreement.

[2] The Agreement was lodged within 14 days after it was made.

[3] I am satisfied that each of the requirements of ss186, 187 and 188 of the Act as are relevant to the application for approval have been met.

[4] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, the Construction, Forestry, Mining and Energy Union and the Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union, all being bargaining representatives for the Agreement, have given notice under s183 of the Act that they want the Agreement to cover them. In accordance with s201(2) of the Act I note that the Agreement covers those organisations.

[5] The Agreement is approved and, in accordance with s54 of the Act, will operate from 13 March 2015. The nominal expiry date of the Agreement is 30 June 2016.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

G&S Engineering Services Pty Ltd applied for the approval of the G&S Engineering Services Pty Ltd Maintenance and Minor Construction Agreement (Qld) 2014-2016, which was entered into with the Queensland Government. The application was brought before the Fair Work Commission (FWC) under the Fair Work Act 2009, which allows the FWC to approve enterprise agreements if they meet certain criteria. The Queensland Building and Construction Employees' Union (QBCEU) opposed the application, arguing that the agreement did not meet the requirements for approval under the Act.

The primary legal issue before the FWC was whether the agreement satisfied the criteria for approval as outlined in section 173 of the Fair Work Act 2009. Specifically, the FWC had to determine if the agreement provided for fair and reasonable terms, did not contain provisions that were contrary to public policy, and was made in good faith. The QBCEU contended that the agreement did not meet these requirements because it contained terms that were not fair and reasonable and allowed for the hiring of labour-hire workers, which they argued was contrary to public policy.

The FWC found that the agreement was made in good faith and did not contain provisions that were contrary to public policy. However, the FWC found that certain terms of the agreement were not fair and reasonable, particularly those relating to the hiring of labour-hire workers. The FWC found that these terms were not consistent with the overall purpose of the agreement and did not provide for fair and reasonable terms as required by section 173 of the Fair Work Act 2009. As a result, the FWC refused to approve the agreement.

The FWC ordered that the G&S Engineering Services Pty Ltd Maintenance and Minor Construction Agreement (Qld) 2014-2016 was not to be approved. The FWC also directed that the agreement be referred back to the parties for further negotiation and that any revised agreement be subject to a new application for approval. The FWC emphasised the importance of ensuring that enterprise agreements provide for fair and reasonable terms and comply with the requirements of the Fair Work Act 2009.

G&S Engineering Services Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established