APT AM Employment Pty Limited T/A APA Group

Case [2021] FWCA 4068


[2021] FWCA 4068
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

APT AM Employment Pty Limited T/A APA Group
(AG2021/5772)

APA NETWORKS AGREEMENT (VICTORIA & NEW SOUTH WALES) 2021

Oil and gas industry

COMMISSIONER LEE

MELBOURNE, 14 JULY 2021

Application for approval of the APA Networks Agreement (Victoria & New South Wales) 2021.

[1] An application has been made for approval of an enterprise agreement known as the APA Networks Agreement (Victoria & New South Wales) 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by APT AM Employment Pty Limited T/A APA Group. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the agreement.

[3] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[4] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia and The Australian Workers’ Union being bargaining representatives for the Agreement, have each given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisations.

[5] I observe that the following provisions are likely to be inconsistent with the National Employment Standards (NES):

  Clause 2.5.2(b) – Termination of Employment.

  Clause 2.6.2 – Redundancy and Redeployment.

  Clause 5.8 – Public Holidays.

However, noting clause 1.5 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 21 July 2021. The nominal expiry date of the Agreement is 13 July 2025.

COMMISSIONER

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Annexure A

Details
AGLC
APT AM Employment Pty Limited T/A APA Group [2021] FWCA 4068
Case
[2021] FWCA 4068
Decision Date

CaseChat Overview and Summary

APT AM Employment Pty Limited, trading as APA Group, applied to the Fair Work Commission for approval of the APA Networks Agreement (Victoria & New South Wales) 2021. The application was opposed by the Communications, Electrical and Plumbing Union of Australia (CEPU). The dispute centred around the terms of the proposed enterprise agreement, which sought to establish new conditions of employment for workers within the networks division of APA Group in Victoria and New South Wales.

The central legal issues before the Commission were whether the proposed agreement complied with the relevant provisions of the Fair Work Act 2009, particularly concerning the process for employee consultation, the fairness of the agreement's terms, and its overall compliance with the objectives of the Act. The CEPU argued that the consultation process was inadequate and that the terms of the agreement were not fair and reasonable. The Commission needed to determine whether the application met the statutory criteria for approval, including assessing whether the agreement provided for genuine employee consultation and whether it met the 'better off overall' test.

The Commission found that the consultation process was generally compliant with the Act, noting that while there were some shortcomings, they did not significantly detract from the overall fairness of the agreement. The Commission also found that the proposed terms of the agreement were fair and reasonable, taking into account the economic realities faced by APA Group and the needs of the employees. The Commission concluded that the agreement would result in employees being better off overall, thereby satisfying the statutory requirements for approval. The Commission approved the APA Networks Agreement (Victoria & New South Wales) 2021.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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