Master Builders understands that the group of contractors that elected to commence negotiations with the CFMEU is close to reaching an in-principle agreement. It is understood that their deal will provide for 5 per cent per annum wage increases in return for some potential productivity improvements – and purportedly will be compliant with Building Code 2013, but not the proposed Building Code 2014.
The proposed deal is therefore likely to be contrary to Master Builders’ position that any successor to the current Industry EBA be sustainable – with over-CPI wage increases offset by productivity improvements that are actually available in practice – as well as being compliant with the proposed Building Code 2014 (unless or until it is no longer being pursued by Government). Therefore, unless that deal is in our broader membership’s best interest, Master Builders will not endorse the Agreement, nor will Master Builders provide Agreement-related assistance to that group.
Master Builders notes that on 13 May, the FWBC announced that its role has been expanded to include assessment of whether enterprise agreements made on or after 18 May 2016 comply with Building Code 2013. The effect is that this group of contractors and the CFMEU will need to have their Agreement, once finalised, assessed by FWBC for compliance with Building Code 2013. The announcement is therefore an important interim step as the industry awaits the outcome of the 2 July federal election, which will determine the future of the proposed Building Code 2014.
Members should also note that Master Builders is finalising a new template Agreement based on the extant Industry EBA 2011-2015. The template will provide members considering entering into a new Pattern EBA with the CFMEU with a sustainable, code compliant alternative for negotiations.
Master Builders encourages members seeking further information in regard to the above, or in regard to non-union enterprise agreement options – to contact the IR Department on (03) 9411 456