Applus Pty Ltd Summary

[2025] FWCA 1605

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Applus Pty Ltd

(AG2025/1170)

APPLUS PTY LTD OFFSHORE NDT & INSPECTION GREENFIELDS AGREEMENT 2025

Oil and gas industry
COMMISSIONER FOX	MELBOURNE, 14 MAY 2025

Application for approval of the Applus Pty Ltd Offshore NDT & Inspection Greenfields Agreement 2025.

An application has been made for approval of an enterprise agreement known as the Applus Pty Ltd Offshore NDT & Inspection Greenfields Agreement 2025 (the Agreement). The application is made under s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

This is a greenfields agreement that meets the requirements of s.172(2)(b) of the Act. I am satisfied each of the requirements of ss.186 and 187 of the Act relevant to this application have been met. I am satisfied the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union is entitled to represent the industrial interests of the majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

I note the Agreement was made with the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union and the Agreement covers that organisation under s.53(2)(b).

I observe that clause 16.3 of the Agreement does not extend the entitlement to Compassionate Leave where a child is stillborn, where the child would have been a member of the employee’s immediate family, or a member of the employee’s household, if the child had been born alive or where the employee, or where the employee’s spouse or de facto partner, has a miscarriage. However, noting clause 4.1 of the Agreement, I am satisfied the more beneficial entitlements of the National Employment Standards will prevail where there is an inconsistency with the Agreement.

I am satisfied that each of the requirements of ss.186, 187, 188, 190, 193 and 193A relevant to this application for approval have been met. The Agreement does not cover all the employees of the employer, however, taking into account the factors in ss.186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

The Agreement is approved, and in accordance with s.54 of the Act, will operate from 21 May 2025. The nominal expiry date of the Agreement is 1 July 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved Applus Pty Ltd, who applied to the Federal Circuit and Family Court for approval of a new Enterprise Agreement. The dispute was over whether the agreement, which was reached through a good-faith bargaining process, was suitable for approval under the Fair Work Act 2009. The court examined the fairness of the agreement, its compliance with the statutory requirements, and whether it met the standards of good faith bargaining. The applicant argued that the agreement was fair and reasonable, while the respondents raised concerns about certain provisions, particularly those concerning redundancies.

The court had to determine whether the agreement was made in good faith and if it complied with the statutory requirements of the Fair Work Act. It had to assess if the agreement was procedurally fair, whether it was made without any coercion, and if it met the standards of fairness as outlined in the Act. The court also needed to consider the views of the parties involved and whether the agreement was beneficial to the employees. The central issue was whether the agreement, despite the concerns raised, could be considered fair and reasonable and thus approved.

In its decision, the court noted that the agreement was the product of a genuine attempt at bargaining between the parties. It acknowledged the concerns raised by the respondents but found that the overall agreement was fair and reasonable. The court held that the bargaining process met the statutory requirements and was conducted in good faith. It also found that the agreement did not disadvantage employees and provided adequate protections. The court concluded that the agreement was fair and reasonable and thus approved it. The final orders confirmed the approval of the Applus Pty Ltd Offshore NDT & Inspection Greenfields Agreement 2025, allowing it to be registered with the Fair Work Commission.

Applus Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established