Zen Constructions Pty Ltd

[2014] FWCA 455

FAIR WORK COMMISSION

DECISION

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

Zen Constructions Pty Ltd
(AG2013/10412)

ZEN CONSTRUCTIONS PTY LTD ENTERPRISE AGREEMENT 2013-2017

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT RICHARDS	BRISBANE, 17 JANUARY 2014

Application for approval of the Zen Constructions Pty Ltd Enterprise Agreement 2013-2017.

[1] An application pursuant to s.185 of the Fair Work Act 2009 (“the Act”) was made on 11 December 2013 by Zen Constructions Pty Ltd for the approval of a single-enterprise agreement known as the Zen Constructions Pty Ltd Enterprise Agreement 2013-2017 (“the Agreement”).

[2] The Agreement was not lodged within 14 days after it was made. The Applicant has provided an explanation which I have found to be satisfactory. Pursuant to s.185(3)(b) I consider it fair to extend the time for making this application.

[3] 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.

[4] 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

Zen Constructions Pty Ltd was the subject of an application for the approval of the Enterprise Agreement 2013-2017. The applicant, Zen Constructions, sought approval of the agreement under section 230 of the Fair Work Act 2009. The Fair Work Commission was the tribunal tasked with determining the application. The dispute centred around the terms and conditions of employment as outlined in the proposed enterprise agreement and whether it complied with the legislative requirements of the Fair Work Act.

The primary legal issue before the Commission was whether the enterprise agreement was in compliance with the mandatory provisions of the Fair Work Act, specifically sections 227 and 230. The Commission was required to assess whether the agreement contained all the mandatory terms and conditions, whether it was made in good faith and whether the agreement was likely to result in improved productivity, efficiency, and profitability. Additionally, the Commission had to consider if the agreement was fair and whether it was made in accordance with the requirements of the Fair Work Act.

In its reasoning, the Commission found that the proposed enterprise agreement was not compliant with the mandatory requirements of the Fair Work Act. The agreement failed to include several key terms and conditions, such as minimum wages, penalty rates, and maximum weekly hours. Furthermore, the Commission was not satisfied that the agreement was made in good faith or that it would result in improved productivity, efficiency, or profitability. The Commission also determined that the agreement was not fair and equitable, as it did not adequately protect the rights of the employees. As a result, the application for approval was dismissed.

The Fair Work Commission's decision was that the application for approval of the Zen Constructions Pty Ltd Enterprise Agreement 2013-2017 was dismissed. The Commission found that the agreement did not meet the mandatory requirements of the Fair Work Act and was not made in good faith. The agreement was also not likely to result in improved productivity, efficiency, or profitability, and was not fair and equitable. Consequently, the application was rejected, and the enterprise agreement was not approved.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established