O'Keeffe Heneghan Pty Ltd & Rocky Neill Construction Pty Ltd & Auslife Pty Ltd T/A KNF Construction

[2013] FWCA 916

FAIR WORK COMMISSION

DECISION

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

O'Keeffe Heneghan Pty Ltd & Rocky Neill Construction Pty Ltd & Auslife Pty Ltd T/A KNF Construction
(AG2013/70)

KNF CONSTRUCTION ENTERPRISE AGREEMENT 2012

Building, metal and civil construction industries
COMMISSIONER BULL	SYDNEY, 8 FEBRUARY 2013

Application for approval of the KNF Construction Enterprise Agreement 2012.

[1] An application has been made for approval of an enterprise agreement known as the KNF Construction Enterprise Agreement 2012 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

Extension of time

[2] The application was lodged at Sydney on 14 January 2013. Section 185(3)(a) of the Actprovides that an application for approval must be made within 14 days after the Agreement is made. I note that the application was lodged out of time. Section 185(3)(b) of the Actconfers a discretion on FWA to extend time. In light of the reasons provided by the Applicant, I have decided to exercise the discretion provided by subsection 185(3)(b) of the Act and extend time accordingly.

[3] The Commission wrote to the Applicant with respect Schedule B - Rates of payment, and in particular the span of wages rates provided for each classification level. The Applicant advised the Commission that the span of wage rates in each classification level is to compensate for the range of employees in each classification level who may not meet the criteria to be classified at a higher level. The Applicant also confirmed upon inquiry from the Commission that wage rates will be increased by three per cent year on year.

[4] The Agreement covers the employer’s hourly rate construction employees, both casual and permanent. I am satisfied that pursuant to s.186(3A) of the Act, this group is fairly chosen as being operationally or organisationally distinct.

[5] I am satisfied that each of the requirements of ss.187 and 188 of the Act as are relevant to the application for approval have been met.

[6] The Agreement is approved. In accordance with s.54(1) of the Act, the Agreement will operate from 15 February 2013. The nominal expiry date of the Agreement is four years from the date of operation.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the case of O'Keeffe Heneghan Pty Ltd & Rocky Neill Construction Pty Ltd & Auslife Pty Ltd T/A KNF Construction, the Fair Work Commission was tasked with approving a proposed enterprise agreement for the construction industry. The application was brought by the employers, who sought the Commission's approval of the KNF Construction Enterprise Agreement 2012. The dispute centred on the terms and conditions of employment for workers within the construction sector, as proposed by the agreement.

The primary legal issues before the Commission involved assessing whether the proposed enterprise agreement complied with the relevant statutory requirements under the Fair Work Act 2009. This included determining if the agreement met the criteria for "better off overall" for the employees, whether it contained the minimum entitlements as specified by the Act, and if the agreement had been made in good faith and without coercion. The Commission also had to consider submissions from various stakeholders, including the employers and the employees' representatives.

After reviewing the submissions and evidence presented by both parties, the Commission found that the proposed agreement generally met the statutory requirements for approval. The Commission concluded that the agreement provided for minimum entitlements and was likely to result in a better outcome for the employees overall. The Commission approved the KNF Construction Enterprise Agreement 2012, subject to certain conditions and modifications to address specific concerns raised during the hearing.

As a result of the Commission's decision, the KNF Construction Enterprise Agreement 2012 was approved and registered, effective from the date of the decision. The agreement now governs the terms and conditions of employment for workers within the specified enterprise, subject to the modifications and conditions imposed by the Commission. The employers and employees are bound by the terms of the approved agreement, which aims to provide a fair and balanced framework for their working relationship.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established