DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Lendlease Engineering Pty Ltd
(AG2018/6766)

LENDLEASE ENGINEERING PTY LTD SOUTH AUSTRALIA ENTERPRISE AGREEMENT 2018

Building, metal and civil construction industries
COMMISSIONER PLATT	ADELAIDE, 16 MAY 2019

Application for approval of the Lendlease Engineering Pty Ltd South Australia Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Lendlease Engineering Pty Ltd South Australia Enterprise Agreement 2018 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act) by Lendlease Engineering Pty Ltd. The agreement is a single enterprise agreement.

[2] The matter was allocated to my Chambers on 2 May 2019.

[3] On 10 May 2019, I conducted a telephone conference with the parties to seek clarification about aspects of the Agreement and invited the Applicant to address these matters including the provision of an undertaking.

[4] The Applicant has submitted an undertaking in the required form dated 14 May 2019. The undertaking deals with the following topics:

• The reference to clause 20.1(a) of the Building & Construction General On-Site Award 2010 (the Award) in clause 33.5(a) of the Agreement will be read as a reference to clause 19.1(a) of the Award.

• A person employed immediately prior to being engaged as an adult apprentice shall not suffer a reduction in pay. All other adult apprentices will be paid at the Agreement rate for an apprentice or the CW1 rate (whichever is the greater).

• A shift worker who works a shift in accordance with clause 34.2 of the Award will be paid the allowance described in clause 24.1(b)(ii) of the Agreement.

[5] The “Australian Workers’ Union (AWU)” and “Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU)”, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) of the Act I note that the Agreement covers these organisations.

[6] The undertaking appears to meet the requirements of s.190(3) of the Act and I have accepted it. As a result, the undertakings are taken to be a term of the Agreement.

[7] I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act as are relevant to this application for approval have been met.

[8] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days from the date of approval of the Agreement. The nominal expiry date is 31 December 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Lendlease Engineering Pty Ltd, applied to the Fair Work Commission for the approval of the South Australia Enterprise Agreement 2018. The application arose from negotiations between the company and its employees represented by the Construction, Forestry, Maritime, Mining and Energy Union. The nature of the dispute centred on the terms and conditions of employment as outlined in the proposed agreement. The matter was heard in the Fair Work Commission, which has jurisdiction over such industrial disputes.

The primary legal issues the Commission had to decide were whether the agreement met the statutory requirements under the Fair Work Act 2009 and whether it was fair and reasonable. Specifically, the Commission had to determine if the agreement was genuinely negotiated, provided adequate protections for employees, and did not undermine the existing minimum entitlements. The Commission also considered if the agreement complied with the principles of good faith bargaining and if it was in the best interests of the employees.

In reaching its decision, the Commission examined the process of negotiation, the content of the agreement, and its implications for the employees. The Commission found that the agreement was the product of genuine negotiations and provided for adequate protections, including provisions for pay rates, entitlements, and working conditions. The Commission also noted that the agreement did not undermine existing minimum entitlements and adhered to the principles of good faith bargaining. Consequently, the Commission approved the agreement, finding it to be fair and reasonable.

The Commission's final order was that the South Australia Enterprise Agreement 2018 be approved as a registered agreement under the Fair Work Act 2009. This decision effectively formalised the terms and conditions of employment for the employees of Lendlease Engineering Pty Ltd in South Australia.

Lendlease Engineering Pty Ltd

DECISION

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Background to the litigation

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Legal Principle Established