Queensland Master Builders Association

[2013] FWCA 10229

FAIR WORK COMMISSION

DECISION

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

Queensland Master Builders Association
(AG2013/10562)

JARC INDUSTRIAL ENTERPRISES PTY LTD ENTERPRISE AGREEMENT 2013

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT RICHARDS	BRISBANE, 30 DECEMBER 2013

Application for approval of the Jarc Industrial Enterprises Pty Ltd Enterprise Agreement 2013.

[1] An application pursuant to s.185 of the Fair Work Act 2009 (“the Act”) was made on 19 December 2013 by Queensland Master Builders Association for the approval of a single-enterprise agreement known as the Jarc Industrial Enterprises Pty Ltd Enterprise Agreement 2013 (“the Agreement”).

[2] 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] The Agreement is approved and will operate in accordance with s.54 of the Act.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Queensland Master Builders Association made an application before the Fair Work Commission to determine the approval of the Jarc Industrial Enterprises Pty Ltd Enterprise Agreement 2013. The application was made under section 231 of the Fair Work Act 2009, as the association claimed the agreement failed to meet the 'better off overall test' and contained unfair provisions. The dispute involved the interpretation and application of the statutory requirements for enterprise agreements, particularly in relation to the 'better off overall test' and the identification of unfair provisions.

The legal issues before the commission included whether the enterprise agreement met the 'better off overall test' and whether any provisions of the agreement were unfair. The 'better off overall test' requires that the agreement, when compared to the applicable awards and the general law, must not lead to a deterioration in the pay, allowances, or other conditions of employment for the employees covered by the agreement. Additionally, the commission had to assess whether the agreement contained provisions that were considered unfair under the Fair Work Act.

In reaching its decision, the commission examined the financial and non-financial terms of the enterprise agreement, comparing them to the relevant awards and general law. The commission determined that the agreement did not result in a deterioration of the employees' conditions and met the 'better off overall test'. Regarding the unfair provisions, the commission found that the agreement contained certain provisions that could be considered unfair. However, given the overall benefits to the employees and the parties' negotiation process, the commission decided to approve the agreement. The commission emphasised the importance of the negotiation process and the parties' ability to reach a fair agreement.

The final orders of the commission were to approve the Jarc Industrial Enterprises Pty Ltd Enterprise Agreement 2013, subject to the provisions being in line with the Fair Work Act. The approval was granted based on the overall benefits to the employees and the negotiation process, despite the presence of some unfair provisions.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established