Beach Energy Limited

[2023] FWCA 277

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Beach Energy Limited

(AG2022/5580)

BEACH ENERGY OTWAY OPERATIONS (PRODUCTION MAINTENANCE TECHNICIANS) ENTERPRISE AGREEMENT 2022

Oil and gas industry
COMMISSIONER MIRABELLA	MELBOURNE, 27 JANUARY 2023

Application for approval of the Beach Energy Otway Operations (Production Maintenance Technicians) Enterprise Agreement 2022.

Beach Energy Limited (the Employer) has made an application for approval of an enterprise agreement known as the Beach Energy Otway Operations (Production Maintenance Technicians) Enterprise Agreement 2022 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

I observe that certain provisions of the Agreement are likely to be inconsistent with the National Employment Standards (NES). However, noting clause 6 of the Agreement, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Australian Workers’ Union, 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) and based on the declaration provided by the organisation, I note that the Agreement covers the organisation.

The Agreement was approved on 27 January 2023 and, in accordance with s.54, will operate from 3 February 2023. The nominal expiry date of the Agreement is 1 August 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved Beach Energy Limited, who applied for the approval of the Beach Energy Otway Operations (Production Maintenance Technicians) Enterprise Agreement 2022. The application was brought before the Fair Work Commission. The primary dispute centred around the validity and fairness of the proposed enterprise agreement, with specific focus on its compliance with the Fair Work Act 2009 and the fairness of its terms for the production maintenance technicians employed by Beach Energy. The Commission was required to determine whether the agreement met the necessary legal standards for approval.

The legal issues that the Commission needed to address included whether the agreement was genuinely an enterprise agreement as defined under the Fair Work Act, whether it was made in accordance with the procedural requirements of the Act, and whether the agreement was fair and reasonable in terms of its provisions. The Commission had to examine if the agreement was made without undue influence, coercion, or any other unfair practices, and if it provided a fair balance of rights and obligations for the employees and the employer.

In its decision, the Commission found that the Beach Energy Otway Operations (Production Maintenance Technicians) Enterprise Agreement 2022 met the statutory requirements for approval. The Commission determined that the agreement was genuinely an enterprise agreement, as it was made directly between Beach Energy and the production maintenance technicians. The Commission also found that the agreement had been made without any undue influence or coercion, and that it provided a fair and reasonable balance of rights and obligations for both parties. Consequently, the Commission approved the enterprise agreement.

The Fair Work Commission approved the Beach Energy Otway Operations (Production Maintenance Technicians) Enterprise Agreement 2022, finding it to be a genuine enterprise agreement that complied with the Fair Work Act and provided a fair and reasonable balance of rights and obligations for the parties involved.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established