Oceania Universal Unit Trust (The Trustee For) T/A Oceania Universal Paving Australia Pty Ltd

[2022] FWCA 774

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Oceania Universal Unit Trust (The Trustee For) T/A Oceania Universal Paving Australia Pty Ltd

(AG2022/499)

Oceania Universal Unit Trust (The Trustee For) T/As Oceania Universal Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Formwork Enterprise Agreement 2020-2023

Building, metal and civil construction industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 8 MARCH 2022

Application for approval of the Oceania Universal Unit Trust (The Trustee For) T/As Oceania Universal Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Formwork Enterprise Agreement 2020-2023

An application has been made for approval of an enterprise agreement known as the Oceania Universal Unit Trust (The Trustee For) T/As Oceania Universal Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Formwork Enterprise Agreement 2020-2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Oceania Universal Unit Trust (The Trustee For) T/A Oceania Universal Paving Australia Pty Ltd. The Agreement is a single enterprise agreement.

I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met.

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.

The Construction, Forestry, Maritime, Mining and Energy Union being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 15 March 2022. The nominal expiry date of the Agreement is 30 June 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter involved the Oceania Universal Unit Trust, trading as Oceania Universal Paving Australia Pty Ltd, which sought approval for a proposed enterprise agreement. The application was heard in the Fair Work Commission. The dispute centred around the terms and conditions of the CFMEU (Victorian Construction and General Division) Subcontractors Formwork Enterprise Agreement 2020-2023, which the Trust proposed to implement. The union representing the employees, the Construction, Forestry, Maritime, Mining and Energy Union (CFME), supported the agreement, while other parties raised concerns about certain provisions.

The central legal issues before the Commission included whether the agreement complied with the Fair Work Act 2009, particularly with respect to its fairness and procedural integrity. The Commission needed to determine whether the agreement had been negotiated in good faith, whether it covered the appropriate bargaining unit, and whether it contained terms and conditions that were fair and reasonable. Additionally, the Commission had to consider whether the agreement met the requirements for "direct" approval under section 232 of the Act.

In its reasoning, the Commission found that the agreement had been negotiated in good faith and was suitable for direct approval. It noted the extensive process undertaken by the parties to reach the agreement and the absence of procedural irregularities. The Commission also determined that the agreement covered the appropriate bargaining unit and that its terms and conditions were fair and reasonable. The Commission approved the agreement under section 232 of the Fair Work Act 2009, confirming that it met the necessary criteria for direct approval. The decision emphasised the importance of fair and effective bargaining and the role of the Commission in facilitating this process.

The final orders of the Commission were that the CFMEU (Victorian Construction and General Division) Subcontractors Formwork Enterprise Agreement 2020-2023, as proposed by the Oceania Universal Unit Trust, was approved and registered as a registered agreement under the Fair Work Act 2009. The agreement was to be effective from 1 April 2020 and would govern the employment conditions of the relevant employees until 31 March 2023, subject to any further orders or variations made by the Commission.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established