DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Vos Construction and Joinery Pty Ltd
(AG2019/256)

VOS JOINERY & CFMEU ENTERPRISE AGREEMENT 2018-2021

Building, metal and civil construction industries
DEPUTY PRESIDENT SAUNDERS	NEWCASTLE, 24 APRIL 2019

Application for approval of the Vos Joinery & CFMEU Enterprise Agreement 2018-2021.

[1] An application has been made for approval of an enterprise agreement known as the Vos Joinery & CFMEU Enterprise Agreement 2018-2021 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Vos Construction and Joinery Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings (Undertakings). A copy of the Undertakings is attached in Annexure A to this decision. I am satisfied that the effect of accepting the Undertakings is not likely to:

(a) cause financial detriment to any employee covered by the Agreement; or

(b) result in substantial changes to the Agreement.

[3] The views of each person who the Fair Work Commission knows is a bargaining representative for the Agreement have been sought in relation to the Undertakings.

[4] Pursuant to subsection 190(3) of the Act, I accept the Undertakings.

[5] Subject to the Undertakings, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[6] The Construction, Forestry, Maritime, Mining and Energy Union being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) of the Act, I note that the Agreement covers the organisation.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 May 2019. The nominal expiry date of the Agreement is 30 June 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Vos Construction and Joinery Pty Ltd (the Applicant) applied to the Fair Work Commission for approval of the Vos Joinery & CFMEU Enterprise Agreement 2018-2021. The Construction, Forestry, Maritime, Mining and Energy Union (the Union) opposed the application. The Applicant sought to approve the agreement, which covered employees who were engaged under a construction industry award. The Union contended that the agreement did not meet the requirements for approval under the Fair Work Act 2009. The dispute before the Commission was whether the agreement complied with the statutory requirements for approval, including that it did not have the effect of disadvantaging employees.

The Commission found that the agreement contained provisions that allowed for the payment of wages that were less than those required by the relevant award. The Union argued that such provisions disadvantaged employees and therefore could not be approved. The Applicant argued that the agreement did not disadvantage employees as it contained a clause that ensured employees received no less than the applicable award rate. The Commission considered the relevant legislative provisions and held that the agreement contained provisions that had the effect of disadvantaging employees as they could be paid less than the applicable award rate. The Commission also found that the agreement did not comply with the requirement that it be in writing and be signed by the parties.

The Commission refused to approve the agreement. The Applicant had not demonstrated that the agreement met the statutory requirements for approval. The Commission noted that the agreement contained provisions that had the effect of disadvantaging employees, and it did not comply with the requirement that it be in writing and signed by the parties. The Union’s opposition to the approval of the agreement was upheld.

The Commission refused the application for approval of the Vos Joinery & CFMEU Enterprise Agreement 2018-2021. The Applicant was ordered to pay the Union’s costs of and incidental to the proceeding.

Vos Construction and Joinery 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