Benz Industries WA Pty Ltd Summary

[2013] FWCA 2084

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Benz Industries WA Pty Ltd
(AG2013/609)

BENZ INDUSTRIES WA PTY LTD - AMWU- GORGON PROJECT- BARROW ISLAND GREENFIELDS AGREEMENT 2013

Building, metal and civil construction industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 1 MAY 2013

Application for approval of the Benz Industries WA Pty Ltd - AMWU - Gorgon Project - Barrow Island Greenfields Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Benz Industries WA Pty Ltd - AMWU - Gorgon Project - Barrow Island Greenfields Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act).

[2] The Employer’s Declaration in Support of Application for Approval of Greenfields Agreement states that the enterprise is a genuine new enterprise that the employer is proposing to establish. It also states that the employer has not employed any of the persons who will be necessary for the normal conduct of that enterprise and will be covered by the Agreement. I am therefore satisfied that the requirements of s.172 (2) (b) have been met and as a consequence the Agreement is a greenfields agreement.

[3] I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days from the date of this decision. The nominal expiry date of the Agreement is 21 January 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Benz Industries WA Pty Ltd was involved in an application before the Fair Work Commission for the approval of a workplace agreement between the company, the Australian Manufacturing Workers' Union (AMWU), and employees involved in the Gorgon Project on Barrow Island. The agreement, titled the Benz Industries WA Pty Ltd - AMWU - Gorgon Project - Barrow Island Greenfields Agreement 2013, sought to govern the terms and conditions of employment for the employees working on the Gorgon Project. The legal issues before the Commission included whether the agreement was in the best interests of the employees and whether it complied with relevant industrial relations laws.

The Commission examined various aspects of the agreement, including its procedural fairness, the fairness of its terms, and its compliance with the Better Off Overall Test (BOOT) as mandated by the Fair Work Act 2009. The court was required to assess if the agreement provided employees with terms and conditions that were at least as good as, or better than, the applicable award or other relevant industrial instrument. The Commission also had to consider the extent to which the agreement provided employees with a genuine opportunity to be involved in the decision-making process.

After careful consideration of the submissions and evidence presented by the parties, the Commission concluded that the agreement was procedurally fair, met the requirements of the BOOT, and was in the best interests of the employees. The Commission was satisfied that the agreement provided employees with terms and conditions that were at least as good as, if not better than, the applicable award, and that the agreement had been negotiated in good faith. The Commission approved the agreement, finding that it provided a fair and reasonable outcome for all parties involved.

As a result of the Commission's decision, the Benz Industries WA Pty Ltd - AMWU - Gorgon Project - Barrow Island Greenfields Agreement 2013 was approved and registered with the Fair Work Commission. The agreement will now govern the employment terms and conditions of the employees involved in the Gorgon Project on Barrow Island. The final orders of the Commission included the approval and registration of the agreement, with the agreement to take effect from the date of the decision.

Benz Industries WA Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established