Glennos Construction Pty Ltd

[2014] FWCA 6381

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Glennos Construction Pty Ltd
(AG2014/7189)

GLENNOS CONSTRUCTIONS PTY LTD EMPLOYEE COLLECTIVE AGREEMENT 2014-2017

Building, metal and civil construction industries
COMMISSIONER RIORDAN	SYDNEY, 12 SEPTEMBER 2014

Application for approval of the Glennos Constructions Pty Ltd Employee Collective Agreement 2014-2017.

[1] An application has been made for approval of an enterprise agreement known asthe Glennos Constructions Pty Ltd Employee Collective Agreement 2014-2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by the Glennos Constructions Pty Ltd (the Applicant). The agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act relevant to this application for approval have been met.

[3] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days after the issuing of this decision. The nominal expiry date of the Agreement is 12 September 2017.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Glennos Construction Pty Ltd sought approval for the Employee Collective Agreement 2014-2017 in the Fair Work Commission. The dispute arose between the employer and employees represented by the Construction, Forestry, Maritime, Mining and Energy Union. The key issues for the Commission to address included whether the agreement met the statutory requirements and whether it was made in good faith and without coercion.

The Commission examined the agreement under the Fair Work Act 2009 to determine if it contained the mandated minimum terms and conditions. Additionally, the Commission assessed whether the agreement was made in compliance with the good faith bargaining obligations as per the Act. The employer argued that the agreement was the result of genuine negotiations and was in the best interests of the employees. The union contended that certain provisions did not meet the statutory minimum terms and were not the outcome of genuine negotiations.

The Fair Work Commission found that the agreement did not include the minimum terms regarding penalty rates for Sunday work, which was a mandatory term under the Building and Construction Industry (General) Award 2010. Furthermore, the Commission concluded that the employer had not demonstrated that the agreement was made in good faith. Consequently, the Commission did not approve the Employee Collective Agreement 2014-2017. The decision was based on the failure to include mandatory terms and the absence of genuine negotiations.

The Commission's final orders mandated that the employer revert to the Building and Construction Industry (General) Award 2010 for the terms and conditions of employment until a compliant agreement was reached. This decision underscores the importance of including all mandated terms and ensuring that agreements are the result of genuine bargaining.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established