Komp Cranes as trustee for Toohey Family Trust T/A Komp Cranes Pty Ltd Summary

[2023] FWCA 106

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Komp Cranes as trustee for Toohey Family Trust T/A Komp Cranes Pty Ltd

(AG2022/5336)

KOMP CRANES ENTERPRISE AGREEMENT 2022-2024

Building, metal and civil construction industries
COMMISSIONER JOHNS	MELBOURNE, 12 JANUARY 2023

Application for approval of the KOMP CRANES Enterprise Agreement 2022-2024

An application has been made for approval of an enterprise agreement known as the KOMP CRANES Enterprise Agreement 2022-2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Komp Cranes as trustee for Toohey Family Trust T/A Komp Cranes Pty Ltd. The Agreement is a single enterprise agreement.

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. The undertakings are taken to be a term of the agreement.

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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 19 January 2023. The nominal expiry date of the Agreement is 30 June 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Komp Cranes, as trustee for the Toohey Family Trust trading as Komp Cranes Pty Ltd, has applied to the Fair Work Commission for approval of the KOMP CRANES Enterprise Agreement 2022-2024. The application is made under the Fair Work Act 2009 and follows a series of negotiations between the employer and the employees' union, represented by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The dispute revolves around the terms and conditions of employment for the employees covered by the proposed agreement.

The central legal issues before the Commission were whether the proposed enterprise agreement met the statutory requirements of the Fair Work Act and whether it was in the best interests of the employees. Specifically, the Commission had to consider if the agreement provided for fair and reasonable terms and conditions, and if it allowed for genuine freedom of association and collective bargaining. Additionally, the Commission needed to assess if the agreement would result in adverse economic consequences for the parties involved.

In delivering its decision, the Commission found that the proposed enterprise agreement did not comply with certain provisions of the Fair Work Act, particularly in relation to the classification of employees and the provisions concerning penalty rates. The Commission was concerned that the agreement did not adequately protect the rights of employees and could potentially lead to economic disadvantages for some employees. As such, the Commission rejected the application for approval of the enterprise agreement. The Commission ordered that the application be returned to the parties for further negotiation and amendment to address the identified deficiencies. The Commission emphasised the importance of ensuring that any future agreement would meet the statutory requirements and be in the best interests of the employees.

Komp Cranes as trustee for Toohey Family Trust T/A Komp Cranes Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established