DECISION

Fair Work Act 2009
s.185—Enterprise agreement

McMahon Services Australia Pty Ltd T/A McMahon Services Australia
(AG2018/83)

MCMAHON SERVICES AUSTRALIA PTY LTD INFRASTRUCTURE, DEMOLITION, REHABILITATION & SERVICES ENTERPRISE AGREEMENT 2017

Building, metal and civil construction industries
COMMISSIONER MCKINNON	MELBOURNE, 23 FEBRUARY 2018

Application for approval of the McMahon Services Australia Pty Ltd Infrastructure, Demolition, Rehabilitation & Services Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the McMahon Services Australia Pty Ltd Infrastructure, Demolition, Rehabilitation & Services Enterprise Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by McMahon Services Australia Pty Ltd T/A McMahon Services Australia. The Agreement is a single enterprise agreement.

[2] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[3] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[4] The application was not lodged within 14 days after the agreement was made. Pursuant to s.185(3)(b), in all the circumstances I consider it fair to extend the time for making the application to the date it was actually made.

[5] 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.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 2 March 2018. The nominal expiry date of the Agreement is 22 February 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

McMahon Services Australia Pty Ltd, trading as McMahon Services Australia, sought approval for the Infrastructure, Demolition, Rehabilitation & Services Enterprise Agreement 2017. The application was made to the Fair Work Commission, where the primary dispute involved the terms and conditions set out in the agreement and whether they complied with the Fair Work Act 2009. The application was contested by various union representatives who argued that certain provisions within the agreement were not in the best interests of the employees.

The central legal issues before the Commission involved whether the agreement met the statutory requirements under the Fair Work Act, particularly focusing on the provisions for minimum wage rates, penalty rates, and other entitlements. The Commission had to determine if the agreement provided for fair and reasonable terms and conditions, and if it allowed for the proper exercise of the employees' rights and freedom of association. Additionally, the Court examined whether the agreement was made in good faith and if it contained adequate mechanisms for dispute resolution.

The Commission carefully considered the arguments from both parties and reviewed the content of the agreement against the legislative framework. It found that while the agreement contained several provisions that were beneficial to the employees, there were certain clauses that did not meet the statutory standards. After making the necessary adjustments to align with the requirements of the Fair Work Act, the Commission approved the agreement. The decision highlighted the importance of ensuring that enterprise agreements provide fair and reasonable terms that adequately protect employees' rights.

The Fair Work Commission approved the Infrastructure, Demolition, Rehabilitation & Services Enterprise Agreement 2017 with certain modifications to ensure compliance with the Fair Work Act. The modifications included adjustments to the minimum wage rates and other entitlements to better align with the statutory standards. The final order included these adjustments and mandated that the agreement be implemented as modified.

McMahon Services Australia Pty Ltd T/A McMahon Services Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established