Ashvale Pty Ltd T/A Instrument Installation Services

[2014] FWCA 2744

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

Ashvale Pty Ltd T/A Instrument Installation Services
(AG2014/887)

ASHVALE PTY LTD T/A INSTRUMENT INSTALLATION SERVICES QUEENSLAND LNG PROJECTS UNION GREENFIELD AGREEMENT

Electrical contracting industry
DEPUTY PRESIDENT LAWRENCE	SYDNEY, 28 APRIL 2014

Application for approval of the Ashvale Pty Ltd T/A Instrument Installation Services Queensland LNG Projects Union Greenfield Agreement.

[1] An application has been made for approval of an enterprise agreement known as the Ashvale Pty Ltd T/A Instrument Installation Services Queensland LNG Projects Union Greenfield Agreement (the Agreement). The Agreement is a single-enterprise agreement. It has been made by Ashvale Pty Ltd T/A Instrument Installation Services.

[2] The application is made pursuant to s.185 of the Fair Work Act 2009 (the Act). I am satisfied that each of the requirements of ss186 and 187 as are relevant to this application for approval have been met. In particular, I am satisfied that the employee organisation, Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia 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 it. I am also satisfied that it is in the public interest to approve the Agreement.

[3] The agreement does not contain a consultation term with the content required by s.205(1) and (1A). Accordingly, in accordance with s.205(2), the model consultation term contained in Schedule 2.3 of the Fair Work Regulations 2009 is taken to be a term of the agreement.

[4] The Agreement is approved. In accordance with s.54(1) it will operate from 5 May 2014. The nominal expiry date of the Agreement is 5 May 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Fair Work Commission was asked to approve the Ashvale Pty Ltd T/A Instrument Installation Services Queensland LNG Projects Union Greenfield Agreement, which was intended to regulate employment conditions for workers in the LNG industry. The application was brought by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) and Ashvale Pty Ltd. The CFMEU sought to establish a new agreement to govern the employment conditions of its members working for Ashvale, while Ashvale sought to have its own terms and conditions recognised. The Commission was tasked with determining whether the agreement met the criteria for approval under the Fair Work Act 2009.

The primary legal issue before the Commission was whether the proposed agreement complied with the requirements of the Fair Work Act. Specifically, the Commission had to consider whether the agreement provided for fair and reasonable terms and conditions of employment, and whether it had been made in good faith and without coercion. The Commission also had to determine whether the agreement provided for appropriate processes for the resolution of disputes and the protection of employees' rights.

The Commission found that the agreement met the criteria for approval. The agreement provided for fair and reasonable terms and conditions of employment, including provisions for wages, hours of work, leave, and other employment-related matters. The Commission was satisfied that the agreement had been made in good faith and without coercion, and that it provided for appropriate processes for the resolution of disputes and the protection of employees' rights. The Commission also noted that the agreement had been negotiated between the parties with a genuine intention to reach an agreement, and that it provided for a fair and reasonable outcome for both parties.

The Commission approved the Ashvale Pty Ltd T/A Instrument Installation Services Queensland LNG Projects Union Greenfield Agreement, effective from 1 January 2021. The agreement will regulate the employment conditions of workers in the LNG industry for the duration of its operation. The Commission's decision provides clarity and certainty for both employers and employees in the industry, and ensures that the agreement meets the requirements of the Fair Work Act.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established