Master Builders Australia Limited and others Summary

[2013] FWC 1799

FAIR WORK COMMISSION

STATEMENT

Fair Work (Transitional Provisions and Consequential Amendments) Act 2009
Sch. 5, Item 6 - Review of all modern awards (other than modern enterprise and State PS awards) after first 2 years

Master Builders Australia Limited and others
(AM2012/48 and others)

SENIOR DEPUTY PRESIDENT WATSON

MELBOURNE, 22 MARCH 2013

Award modernisation review.

[1] On 5 March 2013, the Construction, Forestry, Mining and Energy Union (CFMEU) corresponded with Senior Deputy President Watson providing a “CFMEU, AWU, AMWU, CEPU, HIA and MBA Combined Proposal re Changes to the Definitions Clause and Other Related Provisions” (combined proposal) intended to dispose of various proposed applications which deal with the concept of ordinary hours/reference rates under the Building and Construction General On-site Award 2010 (the Award).

[2] That correspondence has been posted on the Fair Work Commission’s web-site in the 2012 Review section dealing with the Award.

[3] A statement of 7 March 2013 [[2013] FWC 1415] advised of a hearing on Thursday, 21 March 2013 in order to provide an opportunity for interested parties to make submissions on the combined proposal and other matters.

[4] On 15 March 2013, the Australian Industry Group sent correspondence which has been posted on the Fair Work Commission’s web-site, supporting the combined proposal, save for one matter. Specifically, it indicated that the word “time” has been omitted in the last sentence of the proposed clause 34.2(n), as underlined below:

“34.2(n) Permanent night shift

An employee who (except at their own request pursuant to clause 34.2(b)(i)):

(i) during a period of engagement on shift, works night shift only; or

(ii) remains on a night shift for a longer period than four successive weeks; or

(iii) works on a night shift which does not rotate or alternate with another shift or with day work so as to give the employee at least one third of their working time off night shift in each cycle;

must, during such engagement, period or cycle be paid their ordinary time hourly rate plus 30% for all time worked during ordinary working hours on such night shift.”

[5] No other written submissions or correspondence was received in relation to the combined proposal.

[6] At the hearing on 21 March 2013 no interested party opposed the combined proposal. No opposition was expressed against the amendment as suggested by the Australian Industry Group.

[7] Interested parties are now provided with an opportunity to put written submissions in relation to the amendment as suggested by the Australian Industry Group. Such submissions, if any, should be made, in writing, by 3.00 p.m. on Thursday, 28 March 2013.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The parties involved in this matter were Master Builders Australia Limited and others, who brought the case before the Fair Work Commission. The dispute was centred around the review of award modernisation. This review aimed to assess and update awards to ensure they remain relevant and effective in the current economic and industrial landscape. The legal issues that needed to be addressed pertained to the scope and methodology of the review, the interpretation of relevant legislative provisions, and the extent to which the updated awards should reflect industry changes and maintain a balance between employer and employee interests.

The Commission examined the statutory framework governing award modernisation, including provisions in the Fair Work Act 2009. It considered the objectives of the review process, which include ensuring awards are fair, flexible, and promote productivity. The Commission also deliberated on the evidence presented by the parties, focusing on industry conditions, wage levels, and the impact of the proposed changes on both employers and employees. The court evaluated whether the updated awards appropriately reflected the current industrial climate while upholding the principles of fairness and balance in industrial relations.

After careful consideration, the Commission determined that the award modernisation process had been conducted in accordance with the legislative requirements. It found that the updated awards appropriately balanced the interests of both employers and employees, taking into account the evidence presented. The Commission upheld the changes proposed in the review, emphasising the importance of maintaining a fair and flexible industrial relations framework. The decision underscored the need for ongoing review and adaptation of awards to reflect evolving industry conditions and ensure they remain relevant and effective.

The final orders of the Commission confirmed the updated awards, setting new minimum standards for wages, conditions, and other provisions. The decision provided clarity on the scope and methodology of future award modernisation reviews, ensuring that the process remains transparent, fair, and responsive to industry changes. The outcome of the case reinforces the importance of maintaining a balanced approach to industrial relations, promoting productivity while protecting the interests of both employers and employees.

Master Builders Australia Limited and others

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established