One Key Workforce Pty Ltd v Construction, Forestry, Mining and Energy Union

One Key Workforce Pty Ltd sought to have an enterprise agreement approved by the Fair Work Commission. The Construction, Forestry, Mining and Energy Union (CFMEU) applied to the Federal Court for a declaration that the Commission's approval of the agreement was void and of no effect, in the alternative seeking a writ of certiorari to quash the approval and a writ of mandamus requiring the Commission to hear and determine the application to approve the Agreement. The primary judge declared the Commission's approval to be void and of no effect. The CFMEU and One Key Workforce both appealed to the Full Court. The central issue before the Court was whether the primary judge erred in holding that there was no agreement susceptible of approval. A secondary issue was whether the primary judge erred in holding in the alternative that the Commission’s satisfaction was affected by jurisdictional error. The Full Court held that the primary judge was correct in declaring the approval of the agreement to be void and of no effect. The Court held that the primary judge was correct to find that the Commission was not satisfied that the employer had taken all reasonable steps to explain the terms of the agreement and their effect to the employees, as required by s 180(5) of the Fair Work Act 2009 (Cth). The Court found that the primary judge was correct in holding that the Commission’s satisfaction was affected by jurisdictional error because it failed to take into account certain considerations in achieving satisfaction that the agreement passed the “better off overall test” under s 193 or because there was no reasonable basis upon which it could have been satisfied. The Court held that the approval of the agreement was void and of no effect.