McConnell Dowell Constructors (Aust) Pty Ltd Summary

[2013] FWCA 4868

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

McConnell Dowell Constructors (Aust) Pty Ltd
(AG2013/7297)

MCCONNELL DOWELL MEREENIE FIELD DEVELOPMENT GREENFIELDS AGREEMENT 2013-2016

Northern Territory
COMMISSIONER STEEL	ADELAIDE, 19 JULY 2013

Application for approval of the McConnell Dowell Mereenie Field Development Greenfields Agreement 2013-2016.

[1] An application has been made for approval of an enterprise agreement known as the McConnell Dowell Mereenie Field Development Greenfields Agreement 2013-2016 (the Greenfields Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss. 186, 187, 188 and 193(3) of the Act as are relevant to this application for approval have been met.

[3] The Australian Workers’ Union has given notice under s.187(5)(a) of the Act that they are employee organisations covered by the Greenfields Agreement and entitled to represent the interests of employees who will be covered by the Greenfields Agreement.

[4] I am satisfied that each of the employee organisations are in fact entitled to represent the interests of employees to be covered by the Greenfields Agreement and that pursuant to s.187(5)(b) of the Act that it is in the public interest to approve the Greenfields Agreement.

[5] The Agreement is approved. In accordance with s.54(1) of the Act it will operate from 26 July 2013. The nominal expiry date of the Agreement is 19 July 2016.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter involved McConnell Dowell Constructors (Aust) Pty Ltd, who sought approval of the McConnell Dowell Mereenie Field Development Greenfields Agreement 2013-2016 from the Fair Work Commission. The application was brought in the context of an industrial dispute that arose between the applicant and its employees represented by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The Commission was tasked with determining whether the proposed agreement was in the best interests of the employees and whether it complied with the relevant statutory requirements.

The central legal issues before the Commission were whether the agreement met the criteria for being an "enterprise agreement" under the Fair Work Act 2009, and whether it was appropriate to approve the agreement despite the absence of a majority of employee support. The Commission needed to assess whether the agreement addressed the employees' interests effectively, and whether it complied with the procedural requirements for its approval.

In delivering its decision, the Fair Work Commission examined the content and terms of the agreement, considering the need for it to cover certain "greenfields" matters as defined in the legislation. The Commission noted that while the majority of employees did not support the agreement, it found that the agreement was sufficiently comprehensive and met the criteria for an enterprise agreement. The Commission also determined that, in the absence of majority support, it was appropriate to approve the agreement based on the merits and the benefits it provided to the employees. Consequently, the Commission approved the agreement, finding it to be in the best interests of the employees.

The final orders of the Commission included the approval of the McConnell Dowell Mereenie Field Development Greenfields Agreement 2013-2016, which was to be registered under the Fair Work Act. The Commission emphasised the importance of the agreement in providing a framework for the resolution of future industrial disputes and ensuring fair treatment of the employees.

McConnell Dowell Constructors (Aust) Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established