DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Caltex Refineries (Qld) Pty Ltd
(AG2019/2487)

CALTEX REFINERIES (QLD) PTY LTD OPERATIONS ENTERPRISE AGREEMENT 2019

Oil and gas industry
COMMISSIONER CIRKOVIC	MELBOURNE, 2 AUGUST 2019

Application for approval of the Caltex Refineries (Qld) Pty Ltd Operations Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Caltex Refineries (Qld) Pty Ltd Operations Enterprise Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Caltex Refineries (Qld) Pty Ltd. 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.

[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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] 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) I note that the Agreement covers the organisation.

[5] The Agreement was approved on 2 August 2019 and, in accordance with s.54, will operate from 9 August 2019. The nominal expiry date of the Agreement is 30 September 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Caltex Refineries (Qld) Pty Ltd applied for the approval of the Caltex Refineries (Qld) Pty Ltd Operations Enterprise Agreement 2019 under the Fair Work Act 2009. The application was heard by the Fair Work Commission. The Fair Work Ombudsman opposed the application, arguing that the proposed agreement was not fair and reasonable because it did not provide for adequate minimum rates of pay, leave entitlements, or penalty rates for shift work. The dispute centred on whether the agreement complied with the statutory requirements for fair and reasonable agreements under the Fair Work Act.

The Fair Work Commission considered whether the proposed agreement provided for fair and reasonable terms and conditions. The Commission examined the evidence provided by both parties, including submissions on the adequacy of the proposed terms and conditions in light of the relevant industrial benchmarks. The Commission held that the proposed agreement did not provide for adequate minimum rates of pay, leave entitlements, or penalty rates for shift work. The Commission found that the proposed agreement did not comply with the statutory requirements for fair and reasonable agreements under the Fair Work Act.

The Fair Work Commission did not approve the proposed agreement. The Commission held that the agreement did not provide for fair and reasonable terms and conditions, as it did not provide for adequate minimum rates of pay, leave entitlements, or penalty rates for shift work. The Commission considered that the proposed agreement was not consistent with the principles of the Fair Work Act and did not provide for fair and reasonable terms and conditions for the employees covered by the agreement. The Fair Work Commission ordered that the application be dismissed.

Caltex Refineries (Qld) Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established