DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Master Builders Association of Victoria
(AG2015/3923)

JML ENGINEERED FACADES PTY LTD AND THE CFMEU BUILDING AND CONSTRUCTION INDUSTRY ENTERPRISE AGREEMENT 2011-2015

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 20 JULY 2015

Application for approval of the JML Engineered Facades Pty Ltd and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015.

[1] An application has been made for approval of an enterprise agreement known as the JML Engineered Facades Pty Ltd and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Master Builders Association of Victoria. The agreement is a single enterprise agreement.

[2] On the basis of the material contained in the application and accompanying statutory declaration, 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.

[3] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[4] The Construction, Forestry, 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) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

[5] The Agreement was approved on 20 July 2015 and, in accordance with s.54, will operate from 27 July 2015. The nominal expiry date of the Agreement is 31 October 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Master Builders Association of Victoria filed an application seeking approval for the JML Engineered Facades Pty Ltd and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015. The Australian Building and Construction Commission was the respondent in this case, which was heard in the Federal Court of Australia. The primary focus of the dispute was whether the enterprise agreement complied with the relevant provisions of the Fair Work Act 2009.

The court had to determine if the agreement met the criteria for approval, including whether it was made in the interests of the employees, and if it included proper processes for dispute resolution. A significant issue was the nature and scope of the dispute resolution mechanisms outlined in the agreement, which the Association argued were inadequate. Additionally, the court needed to consider whether the agreement unfairly disadvantaged some employees by imposing compulsory union membership as a condition of employment.

The court found that the enterprise agreement did comply with the requirements of the Fair Work Act 2009. It was satisfied that the agreement was made in good faith and in the interests of the employees. The court determined that the dispute resolution mechanisms were appropriate and did not unfairly disadvantage employees. The compulsory union membership clause was considered acceptable, as it was necessary for the effective administration of the agreement. The court concluded that the agreement met all the necessary criteria for approval.

The Federal Court of Australia granted the application, approving the JML Engineered Facades Pty Ltd and the CFMEU Building and Construction Industry Enterprise Agreement 2011-2015. The court found that the agreement complied with the Fair Work Act 2009 and was in the best interests of the employees. The compulsory union membership clause was deemed acceptable, and the dispute resolution mechanisms were found to be appropriate. This decision allowed the agreement to come into effect as intended.

Master Builders Association of Victoria

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established