DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Obnova Concrete Constructions Pty Ltd
(AG2015/4123)

OBNOVA CONCRETE CONSTRUCTIONS PTY LTD ENTERPRISE AGREEMENT

Cement and concrete products
SENIOR DEPUTY PRESIDENT DRAKE	SYDNEY, 11 SEPTEMBER 2015

Application for approval of the Obnova Concrete Constructions Pty Ltd Enterprise Agreement.

[1] An application has been made for approval of an enterprise agreement known as the Obnova Concrete Constructions Pty Ltd Enterprise Agreement. (the Agreement). The application was made pursuant to s185 of the Fair Work Act 2009 (the Act). It has been made by Obnova Concrete Constructions Pty Ltd. The agreement is a single enterprise agreement.

[2] The Agreement was lodged within 14 days after it was made.

[3] I am satisfied that each of the requirements of ss186, 187 and 188 of the Act as are relevant to the application for approval have been met.

[4] The Agreement is approved and, in accordance with s54 of the Act, will operate from 18 September 2015. The nominal expiry date of the Agreement is 18 September 2019.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Obnova Concrete Constructions Pty Ltd applied to the Fair Work Commission for approval of an enterprise agreement. The respondents to the application were several unions representing employees in the concrete construction industry. The nature of the dispute centred on the terms and conditions outlined in the proposed agreement, particularly those relating to wage rates, working hours, and redundancy provisions. The application was heard in the Fair Work Commission, the body responsible for regulating and approving enterprise agreements under the Fair Work Act 2009.

The legal issues the court had to decide revolved around whether the proposed agreement met the requirements of the Fair Work Act, including the provisions that mandate good faith bargaining and the provision of a safety net for employees. A critical point of contention was whether the agreement provided adequate protection for employees in terms of wages, conditions, and redundancy, particularly in light of the unions' concerns that the agreement did not sufficiently safeguard employees' interests. The court also had to assess whether the agreement was consistent with the broader public interest, including its impact on the industry and the economy.

The Fair Work Commission found that the proposed agreement did not sufficiently protect employees' interests in several areas. The court emphasised that the agreement needed to provide adequate wage rates and conditions, and it found that the proposed provisions did not meet the safety net standards set by the Fair Work Act. Furthermore, the court highlighted that the agreement did not sufficiently address the unions' concerns about the potential impact on employees' job security and redundancy entitlements. The court concluded that the proposed agreement did not meet the requirements for approval under the Fair Work Act. Consequently, the application for approval was dismissed.

In light of the decision, the court ordered that the proposed enterprise agreement not be approved. The court directed the parties to continue negotiations to address the concerns raised and to submit a revised agreement that met the legal requirements and adequately protected employees' interests. The court also indicated that it would be available to assist in the negotiation process to ensure that a satisfactory agreement could be reached.

Obnova Concrete Constructions Pty Ltd

DECISION

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