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CDK Commercial Construction Pty Ltd v CFMEU

Case Number: C2006/2767
Applicant: CDK Commercial Construction Pty Ltd
Respondent: CFMEU
Before: Deputy President Ives, AIRC, Melbourne
Hearing Dates: 6 July, 14, 16 & 22 August 2006
ABC Commissioner’s notice to intervene filed on: 4 July 2006

Application for review by the AIRC of a decision of the Victorian Building Industry Disputes Panel (the Panel) under s.170LW of the pre-reform Workplace Relations Act 1996.

The review relates to the interpretation of the site allowance formula in a certified agreement. The agreement provides that no site allowance is payable on any project where the “project value” is below $2.1 million.

CDK Commercial Construction is constructing a swimming pool with a value of $1.3 million. The CFMEU claims that the pool is part of the Caroline Springs Town Centre Development, the total value of which is claimed to be $155 million. The Panel ruled the “project value” was $155 million, not $1.3 million.

In a decision handed down on 21 September DP Ives accepted both the contract and the building permit as authoritative statements of the value of the swim centre.

Accordingly, since the certified agreement provided that no site allowance was payable on projects valued at less than $2.1 million, no site allowance is payable on the swim centre site.

Related document: AIRC decision PR974122