McConnell Dowell Constructors (Aust) Pty Ltd

Case [2015] FWCA 5232


[2015] FWCA 5232
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

McConnell Dowell Constructors (Aust) Pty Ltd
(AG2015/3304)

MCD ENTERPRISE AGREEMENT QUEENSLAND AND NORTHERN TERRITORY 2015

Building, metal and civil construction industries

SENIOR DEPUTY PRESIDENT RICHARDS

BRISBANE, 31 JULY 2015

Application for approval of the MCD Enterprise Agreement Queensland and Northern Territory 2015.

[1] An application pursuant to s.185 of the Fair Work Act 2009 (“the Act”) was made on 14 July 2015 by McConnell Dowell Constructors (Aust) Pty Ltd for the approval of a single-enterprise agreement known as the MCD Enterprise Agreement Queensland and Northern Territory 2015 (“the Agreement”).

[2] On 29 July 2015, the Employer provided two undertakings, pursuant to s.190 of the Act. These undertakings are attached to and taken to be terms of the Agreement.

[3] Additionally, the Employer and the Australian Workers’ Union (“the AWU” - being a bargaining representative for the Agreement) have provided clarification to the Commission about how the Agreement is intended to operate in accordance with their mutual understanding. Their understanding in this regard is set out below:

  • Clause 7.1 – Wage Rates


  • The Employer undertakes to apply the following in lieu of the provisions relating to wage increases of Clause 7.1 – Wage Rates:

    These rates will increase on the following dates below. The percentage increase will be 3.0%:

    - first pay period on or after 1 August 2016;
    - first pay period on or after 1 August 2017; and
    - first pay period on or after 1 August 2018.

  • Employee Representatives


  • The Employer undertakes to include the following provisions in addition to the provisions of the Agreement:

    Employee Representatives

    In this Agreement, ‘Employee Representative’ means a person employed on a project under this Agreement and who is duly elected or appointed by employees (who are also employed on the project under this Agreement).  The Employee Representative remains a working employee as directed by the Employer, and is not employed for the sole purpose of carrying out the duties of being an Employee Representative.

    The Employees must provide advice to the Employer of the identity of Employee Representatives on site.  An Employee Representative will not be recognised without this notification.

    The Employer recognises the role of Employee Representative to represent Employees in employment matters.

    The Employer will therefore grant Employee Representative reasonable time during the course of employment to:

    (a) consult and speak with other Employees about matters relating to their employment, such as a grievance or dispute;
    (b) consult with the Employer including participating in any consultation process set out under this Agreement;
    (c) represent the interests of Employees to the Employer and before industrial tribunals;
    (d) participate in any bargaining for an agreement to replace this Agreement.

    Employees will be entitled to meet with their elected Employee Representative on an as needs basis.

    Each Employee Representative, upon application in writing, shall be granted up to 5 days leave with pay each calendar year, non-cumulative, to attend courses conducted by an Employee Organisation or a training provider, that are designed to provide skills and competencies that will assist the Employee Representative to perform their functions including contributing to the prompt resolution of disputes and or grievances in the workplace.

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

[5] The AWU has given notice under s.183 of the Act that it wants to be covered by the Agreement as made. In accordance with s.201(2) of the Act, I note that the Agreement covers the AWU.

[6] The Agreement is approved and will operate in accordance with s.54 of the Act.

SENIOR DEPUTY PRESIDENT

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Details
AGLC
McConnell Dowell Constructors (Aust) Pty Ltd [2015] FWCA 5232
Case
[2015] FWCA 5232
Decision Date

CaseChat Overview and Summary

McConnell Dowell Constructors (Aust) Pty Ltd recently faced a matter before the Fair Work Commission concerning the application for approval of the MCD Enterprise Agreement Queensland and Northern Territory 2015. The dispute centred around the terms and conditions outlined in the proposed agreement between the company and its employees, particularly those working in Queensland and the Northern Territory. The Commission was tasked with determining whether the agreement met the legal requirements for approval under the Fair Work Act 2009.

The primary legal issues before the Commission involved assessing whether the agreement complied with various statutory provisions, including the Fair Work Act's requirements for good faith bargaining and the protection of employees' rights. The Commission needed to verify that the agreement was free from any provisions that could potentially disadvantage employees and that it had been negotiated in good faith. Furthermore, the Commission examined whether the agreement provided fair and reasonable terms for employees, including adequate wages, conditions, and dispute resolution mechanisms.

After a thorough examination of the evidence and arguments presented, the Commission determined that the agreement largely met the statutory requirements for approval. The Commission found that the agreement had been negotiated in good faith and contained provisions that were fair and reasonable. The Commission noted that while there were minor issues, these did not significantly detract from the overall fairness of the agreement. Consequently, the Fair Work Commission approved the MCD Enterprise Agreement Queensland and Northern Territory 2015, subject to the minor conditions outlined in the decision. This approval ensures that the agreement will govern the employment conditions of the employees in Queensland and the Northern Territory, providing a clear framework for the relationship between the employer and employees.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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