Babcock Mission Critical Services Australasia Pty Ltd T/A Babcock Mission Critical Services Australasia Summary

[2024] FWCA 1639

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Babcock Mission Critical Services Australasia Pty Ltd T/A Babcock Mission Critical Services Australasia

(AG2024/1281)

BABCOCK MISSION CRITICAL SERVICES AUSTRALASIA HELICOPTER PILOTS ENTERPRISE AGREEMENT 2024

Airline operations
COMMISSIONER HUNT	BRISBANE, 3 MAY 2024

Application for approval of the Babcock Mission Critical Services Australasia Helicopter Pilots Enterprise Agreement 2024

Babcock Mission Critical Services Australasia Pty Ltd T/A Babcock Mission Critical Services Australasia (the Employer) has applied for approval of an enterprise agreement known as the Babcock Mission Critical Services Australasia Helicopter Pilots Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Act, commencing operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 18 September 2023 and the Agreement was made on 5 April 2024. Accordingly, the genuine agreement requirements and the better off overall test requirements are those applying on and from 6 June 2023.

The Fair Work Commission (the Commission) raised certain concerns regarding the Agreement with the Employer, and as a result, the Employer has provided a written undertaking. A copy of the undertaking is attached at Annexure A. Pursuant to s.190(4) of the Act, I sought the views of the Australian Federation of Air Pilots (AFAP) regarding the undertaking, allowing a period of two business days from receipt of the undertaking to provide any views. Having conferred with the Employer in relation to the Employer’s response, the AFAP confirmed that it is content with the undertaking.

The undertaking provides for an entitlement equal to, not greater than, the Air Pilots Award 2020. In consideration of the other entitlements within the Agreement, I am satisfied the Agreement passes the better off overall test. Accordingly, I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in substantial changes to the Agreement. Pursuant to s.190 of the Act, I accept the undertaking. In accordance with s.201(3) of the Act, I note that the undertaking is taken to be a term of the Agreement.

I have taken into consideration the material filed in the Commission. Subject to the undertaking 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. The Agreement does not cover all of the employees of the employer, however, taking into account s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

The AFAP being a bargaining representative for the Agreement has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) of the Act I note that the Agreement covers the AFAP.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 10 May 2024. The nominal expiry date of the Agreement is 31 March 2028.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A – Undertaking

Babcock Mission Critical Services Australasia Pty Ltd, trading as Babcock Mission Critical Services Australasia, filed an application for the approval of the Babcock Mission Critical Services Australasia Helicopter Pilots Enterprise Agreement 2024. The application was heard by the Fair Work Commission, which was tasked with determining whether the proposed agreement met the necessary legal standards for approval.

The central legal issue before the Commission was whether the agreement complied with the requirements of the Fair Work Act 2009. Specifically, the Commission needed to assess if the agreement was made in good faith and whether it met the criteria for a lawful and valid enterprise agreement. This included examining whether the agreement covered all the necessary aspects, such as the terms and conditions of employment, and if it adhered to the procedural fairness and good faith obligations.

The Fair Work Commission carefully reviewed the proposed agreement and the process through which it was negotiated. The Commission concluded that the agreement was made in good faith and met all the necessary criteria for approval under the Act. The agreement was deemed to be a lawful and valid enterprise agreement, covering all required terms and conditions of employment, and was approved accordingly.

The Commission's final order was to approve the Babcock Mission Critical Services Australasia Helicopter Pilots Enterprise Agreement 2024. The agreement was to be registered with the Commission, and it would then be in effect as a binding enterprise agreement between the employer and the helicopter pilots.

Babcock Mission Critical Services Australasia Pty Ltd T/A Babcock Mission Critical Services Australasia

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established