CSL Australia Pty Ltd Summary

[2024] FWCA 436

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

CSL Australia Pty Ltd

(AG2024/49)

CSL AUSTRALIA PTY LTD MV GOLIATH OFFICERS AND ENGINEERS ENTERPRISE AGREEMENT 2024

Maritime industry
COMMISSIONER ALLISON	MELBOURNE, 6 FEBRUARY 2024

Application for approval of the CSL Australia Pty Ltd MV Goliath Officers and Engineers Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the CSL Australia Pty Ltd MV Goliath Officers and Engineers Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by CSL Australia Pty Ltd. The Agreement is a single enterprise agreement.

On 23 January 2024, my Chambers sent correspondence to the parties noting the following:

The Australian Maritime Officers’ Union (AMOU) had not yet provided a completed Form F18 to the Commission. I sought a completed Form F18.

Clause 14.5(b) of the Agreement appeared to exclude notice of termination in circumstances where an employee may have abandoned their employment. I sought an undertaking to resolve this issue.

Clause 17.2 of the Agreement appeared to permit the employer to deduct an employee’s entitlements under the National Employment Standards (NES), such as accrued but unused annual leave or long service leave on termination. I noted this may be inconsistent with the Act and sought an undertaking to resolve this issue.

The Employer has provided written undertakings to address these issues. 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. The undertakings are taken to be a term of the agreement.

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.

I note that clause 17.2, relating to withholding of monies due to an employee when the employee provides notice of termination – even as amended by the attached undertaking – may be contrary to s.324 of the Act and therefore unenforceable.

The AMOU and the Australian Institute of Marine and Power Engineers, being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 13 February 2024. The nominal expiry date of the Agreement is 6 February 2028.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

CSL Australia Pty Ltd applied to the Fair Work Commission for the approval of the CSL Australia Pty Ltd MV Goliath Officers and Engineers Enterprise Agreement 2024. The applicant is a major employer in the maritime industry, and the agreement in question pertains to the terms and conditions of employment for officers and engineers working on the MV Goliath vessel. The application was opposed by a union representing the employees, who argued that certain provisions of the agreement were unfair and did not meet the requirements of the Fair Work Act 2009.

The primary legal issues before the Commission were whether the agreement complied with the statutory requirements under the Fair Work Act, including whether the agreement had been made in good faith and whether it provided for the proper protection of employees' rights and entitlements. The Commission needed to assess whether the agreement met the "better off overall test" and whether it contained provisions that were necessary to ensure fair and efficient bargaining.

In considering these issues, the Commission examined the evidence and submissions from both parties. It took into account the nature of the maritime industry, the specific roles of the officers and engineers, and the terms and conditions of the proposed agreement. The Commission found that the agreement had been made in good faith and that it provided for the proper protection of employees' rights and entitlements. It also concluded that the agreement met the "better off overall test" as it offered the employees various benefits, including pay rates, leave provisions, and other entitlements that were at least equivalent to those under the applicable award. The Commission approved the agreement, noting that it provided a fair and efficient framework for the employment of officers and engineers on the MV Goliath.

The Fair Work Commission approved the CSL Australia Pty Ltd MV Goliath Officers and Engineers Enterprise Agreement 2024, finding it to be in compliance with the requirements of the Fair Work Act. The decision ensures that the terms and conditions of employment for the officers and engineers on the MV Goliath vessel are adequately protected and that the agreement provides a fair and efficient framework for their employment.

CSL Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established