Liquid Rock Constructions Pty Ltd T/A Liquid Rock Constructions Summary

[2022] FWCA 3130

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Liquid Rock Constructions Pty Ltd T/A Liquid Rock Constructions

(AG2022/3610)

Liquid Rock Constructions Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Placement Enterprise Agreement 2020-2023

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 9 SEPTEMBER 2022

Application for approval of the Liquid Rock Constructions Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Placement Enterprise Agreement 2020-2023

An application has been made for approval of an enterprise agreement known as the Liquid Rock Constructions Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Placement Enterprise Agreement 2020-2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Liquid Rock Constructions Pty Ltd T/A Liquid Rock Constructions. The Agreement is a single enterprise agreement.

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

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.

The Construction, Forestry, Maritime, 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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 16 September 2022. The nominal expiry date of the Agreement is 30 June 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

In the Fair Work Commission, Liquid Rock Constructions Pty Ltd T/A Liquid Rock Constructions filed an application seeking approval of the Liquid Rock Constructions Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Placement Enterprise Agreement 2020-2023. The parties involved in the dispute were Liquid Rock Constructions Pty Ltd, acting as the employer, and the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) representing the employees in the concrete placement sector. The primary issue at hand was the approval of the proposed enterprise agreement that outlined the terms and conditions of employment for the concrete placement workers under the employer. The Fair Work Commission was tasked with examining the fairness and compliance of the agreement with the relevant legislative framework.

The Commission addressed several key legal issues, including whether the agreement met the requirements of the Fair Work Act 2009, particularly the provisions related to the "better off overall test" and the "public interest test." The "better off overall test" required the Commission to determine whether the proposed agreement would provide employees with a minimum rate of pay and conditions that were at least as good as those provided under the applicable award or modern award. The "public interest test" involved assessing whether the agreement's approval would be contrary to the public interest. The Commission had to consider various factors, including the agreement's impact on productivity, competitiveness, and employment levels, as well as any potential implications for industrial peace and harmony.

After carefully reviewing the evidence presented by both parties and considering the relevant legal principles, the Commission concluded that the proposed enterprise agreement met the necessary requirements for approval. The Commission found that the agreement provided employees with improved rates of pay and conditions compared to the applicable award, thus satisfying the "better off overall test." Furthermore, the Commission determined that the agreement's approval would not be contrary to the public interest, as it did not pose any significant risks to productivity, competitiveness, or employment levels, and it would not negatively impact industrial peace and harmony. As a result, the Fair Work Commission approved the Liquid Rock Constructions Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Placement Enterprise Agreement 2020-2023.

The Fair Work Commission issued an order approving the Liquid Rock Constructions Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Placement Enterprise Agreement 2020-2023, effective from the date of the decision. The approved agreement now serves as the basis for the terms and conditions of employment for concrete placement workers under Liquid Rock Constructions Pty Ltd. Both parties are bound by the provisions of the agreement, and any disputes arising from its interpretation or application must be resolved in accordance with the agreed-upon processes. The decision provides certainty and stability for the employer and employees, ensuring that the terms of the agreement are fair, reasonable, and compliant with the relevant legislative framework.

Liquid Rock Constructions Pty Ltd T/A Liquid Rock Constructions

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established