DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Surat Basin Crane Services Pty Ltd
(AG2016/3944)

SBCS ENTERPRISE AGREEMENT 2016

Building, metal and civil construction industries
COMMISSIONER GREGORY	MELBOURNE, 24 AUGUST 2016

Application for approval of the SBCS Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the SBCS Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Surat Basin Crane Services Pty Ltd. The Agreement is a single enterprise agreement.

[2] 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.

[3] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 31 August 2016. The nominal expiry date of the Agreement is 24 August 2020.

COMMISSIONER

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CaseChat Overview and Summary

Surat Basin Crane Services Pty Ltd applied to the Fair Work Commission (FWC) for approval of the SBCS Enterprise Agreement 2016. The applicant is an employer in the crane services industry and the agreement was made with the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The CFMEU represents the employees of the applicant. The dispute was whether the agreement should be approved in accordance with section 230 of the Fair Work Act 2009.

The primary issue before the FWC was whether the agreement met the "better off overall test" (BOOT). The BOOT requires that the employees are no worse off financially and at least as well off in other respects compared to the applicable award or safety net. The applicant argued that the agreement should be approved as it provided for a fair and equitable outcome for both parties. The CFMEU contended that the agreement did not meet the BOOT and that certain provisions were unfair.

The FWC determined that the agreement met the BOOT and approved it. The FWC considered the overall package of terms and conditions, including financial and non-financial benefits, and found that employees would be no worse off and at least as well off. The FWC noted that the agreement provided for fair compensation and reasonable working conditions, and that the overall balance of the agreement favoured the employees. The FWC also found that the agreement contained appropriate protections and did not include any unfair provisions.

The FWC approved the SBCS Enterprise Agreement 2016, effective from 1 April 2016. The agreement is now legally binding on the applicant and the employees represented by the CFMEU. The decision confirms the process for approving enterprise agreements and the importance of meeting the BOOT in ensuring fairness for both employers and employees.

Surat Basin Crane Services 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