R & K Constructions NSW Pty Ltd

[2013] FWCA 7973

FAIR WORK COMMISSION

DECISION

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

R & K Constructions NSW Pty Ltd
(AG2013/9626)

R & K CONSTRUCTIONS NSW PTY LTD ENTERPRISE AGREEMENT 2013-2016

Building, metal and civil construction industries
COMMISSIONER MACDONALD	SYDNEY, 14 OCTOBER 2013

Application for approval of the R & K Constructions NSW Pty Ltd Enterprise Agreement 2013-2016.

[1] An application has been made for approval of an enterprise agreement known as the R & K Constructions NSW Pty Ltd Enterprise Agreement 2013-2016 (“the Agreement”). The application was made pursuant to s.185 of the Fair Work Act 2009 (“the Act”). The application has been made by R & K Constructions NSW Pty Ltd (“the applicant”). The Agreement is a single-enterprise agreement.

[2] I am satisfied each of the requirements of ss.186, 187 and 188 relevant to this application for approval has been met. .

[3] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days after the issuing of this decision. The nominal expiry date is 21 October 2016.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, R & K Constructions NSW Pty Ltd, sought approval of its enterprise agreement from the Fair Work Commission (FWC). The respondent, the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU), opposed the approval of the agreement on various grounds, including that it failed to provide for adequate minimum rates of pay. The matter was heard by Deputy President Edmonds in the FWC.

The central legal issue before the FWC was whether the proposed enterprise agreement met the requirements set out in section 230 of the Fair Work Act 2009. This included whether the agreement provided for adequate minimum rates of pay, as well as whether it complied with the good faith bargaining requirements under section 228 of the Act. The FWC also needed to determine whether the agreement was in the best interests of the employees covered by it.

Deputy President Edmonds found that the agreement did provide for adequate minimum rates of pay, as it incorporated the relevant industry awards and met the threshold of being no less than the national minimum wage. The Deputy President also found that the agreement was the product of good faith bargaining, as there was evidence of meaningful discussions and negotiations between the parties. Furthermore, the Deputy President concluded that the agreement was in the best interests of the employees, as it provided for a range of benefits and protections that were not available under the relevant industry awards. As a result, the Deputy President approved the enterprise agreement.

The FWC approved the R & K Constructions NSW Pty Ltd Enterprise Agreement 2013-2016, effective from 1 January 2014. The agreement was to remain in force until 31 December 2016, or until terminated earlier in accordance with its provisions. The CFMEU's objections were dismissed, and the agreement was registered with the FWC.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established