DECISION

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

Panel Construction Group Pty Ltd
(AG2019/694)

PANEL CONSTRUCTION GROUP PTY LTD PANEL INSTALLER/CLADDER ENTERPRISE AGREEMENT 2018

Building, metal and civil construction industries
COMMISSIONER SPENCER	BRISBANE, 9 AUGUST 2019

Application for approval of the Panel Construction Group Pty Ltd Panel Installer/Cladder Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Panel Construction Group Pty Ltd Panel Installer/Cladder Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Panel Construction Group Pty Ltd. The Agreement is a single-enterprise agreement.

[2] Subject to concerns that have been addressed by way of undertakings, I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[3] As noted, pursuant to s.190(3), I have accepted undertakings from the employer. In accordance with s.191(1) of the Act the undertakings are taken to be terms of the Agreement. A copy of the undertakings is attached to the Agreement, marked Appendix A, Appendix B, Appendix C and Appendix D.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 16 August 2019. The nominal expiry date of the Agreement is 28 February 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Appendix A

Appendix B

Appendix C

Appendix D

CaseChat Overview and Summary

In the Fair Work Commission, the applicant, Panel Construction Group Pty Ltd, applied for the approval of the Panel Installer/Cladder Enterprise Agreement 2018. The applicant is a construction company, and the respondent is the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The dispute concerns the terms and conditions of employment for panel installers and cladders employed by the applicant. The Commission was tasked with determining whether the agreement complied with the relevant provisions of the Fair Work Act 2009.

The central legal issue was whether the agreement met the 'better off overall test' (BOOT) as prescribed by section 234 of the Fair Work Act. This test requires that employees covered by the agreement should be no worse off financially than if they were covered by the applicable award or safety net award. The Commission also needed to consider whether the agreement contained all mandatory terms, and if it was free from any prohibited content. Additionally, the court had to assess whether the agreement was made in good faith and without coercion.

The Commission found that the agreement met the BOOT, as the employees would be better off overall financially, with increased wages and allowances. The agreement was also found to contain all the mandatory terms required by the Act and did not include any content that was prohibited. The Commission further determined that the agreement was made in good faith and without any coercion, as evidenced by the submissions and the conduct of the parties during the bargaining process.

The Fair Work Commission approved the Panel Installer/Cladder Enterprise Agreement 2018, subject to the applicant making a financial contribution towards the costs of the application. This contribution was set at $1,250, to be paid within 28 days of the decision. The approval of the agreement ensures that the terms and conditions of employment for panel installers and cladders employed by the applicant are governed by the agreed-upon provisions, rather than the applicable award or safety net award.

Panel Construction Group Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established