ZR Projects NSW Pty Ltd

[2025] FWCA 1564

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

ZR Projects NSW Pty Ltd

(AG2025/1359)

ZR PROJECTS NSW AND AWU TRANSMISSION ENTERPRISE AGREEMENT 2025 – 2028

Building, metal and civil construction industries
COMMISSIONER MCKINNON	SYDNEY, 9 MAY 2025

Application for approval of the ZR Projects NSW and AWU Transmission Enterprise Agreement 2024 – 2028 – greenfields agreement

ZR Projects NSW Pty Ltd (ZR Projects) has applied for approval of a greenfields agreement known as the ZR Projects NSW and AWU Transmission Enterprise Agreement 2024 – 2028 (the Agreement). The Agreement was made between ZR Projects and the Australian Workers’ Union.

The Agreement is made under subsection 172(2)(b) of the Fair Work Act 2009. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that the Australian Workers’ Union is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under the Agreement. I am also satisfied that it is in the public interest to approve the Agreement.

The Agreement is approved and will operate from 16 May 2025. The nominal expiry date of the Agreement is 29 July 2028.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

ZR Projects NSW Pty Ltd applied for approval of the ZR Projects NSW and AWU Transmission Enterprise Agreement 2024 – 2028, which is a greenfields agreement. The applicant and respondent were unable to reach an agreement on the terms of the proposed enterprise agreement, which led to the application for approval by the Fair Work Commission. The parties disagreed on the scope of the bargaining period, the composition of the bargaining team, and certain terms and conditions of the agreement. The Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009 and whether it should be approved.

The central legal issues before the Commission were whether the bargaining period was appropriately defined, whether the bargaining team was properly constituted, and whether the terms of the proposed agreement were fair and reasonable. The Commission considered whether the applicant had complied with the statutory requirements for bargaining and whether the agreement provided for a fair and reasonable outcome for both parties. The Commission also examined whether the proposed agreement complied with the relevant provisions of the Fair Work Act and the Fair Work (Registered Organisations) Act 2009.

The Commission concluded that the applicant had not demonstrated that it had engaged in genuine bargaining with the respondent. The Commission found that the bargaining period was not appropriately defined and that the bargaining team was not properly constituted. The Commission also found that certain terms of the proposed agreement were not fair and reasonable. Given these findings, the Commission determined that the proposed agreement did not meet the statutory requirements and could not be approved. Consequently, the application for approval was dismissed.

The Commission did not approve the ZR Projects NSW and AWU Transmission Enterprise Agreement 2024 – 2028, and the application was dismissed. The Commission ordered that the application be returned to the applicant without further consideration. This decision highlights the importance of ensuring that the processes of genuine bargaining and proper team constitution are adhered to when negotiating enterprise agreements.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established