Desk Engineering Pty Ltd

[2014] FWCA 6869

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

Desk Engineering Pty Ltd
(AG2014/7501)

DESK ENGINEERING PTY LTD GLNG PROJECT UNION GREENFIELD AGREEMENT

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT RICHARDS	BRISBANE, 1 OCTOBER 2014

Application for approval of the Desk Engineering Pty Ltd GLNG Project Union Greenfield Agreement.

[1] An application pursuant to s.185 of the Fair Work Act 2009 (“the Act”) was made on 11 September 2014 by Desk Engineering Pty Ltd for the approval of a Greenfields agreement known as the Desk Engineering Pty Ltd GLNG Project Union Greenfield Agreement(“the Agreement”).

[2] Statutory declarations were provided by:

Mr B. Devlin, Assistant State Secretary, of the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (“the AMWU”);

Mr B. Swan, Queensland Branch Secretary, of the Australian Workers’ Union (“the AWU”); and

Mr P. Simpson, Divisional Branch Secretary, of the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (“the CEPU”).

[3] In light of these statutory declarations and in accordance with s.187(5)(a) of the Act, I am satisfied that the AMWU, AWU and CEPU are entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it and that it is in the public interest to approve the Agreement.

[4] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[5] The Agreement is approved and will operate in accordance with s.54 of the Act.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the recent case of Desk Engineering Pty Ltd, the Full Bench of the Fair Work Commission was tasked with considering an application for the approval of the Desk Engineering Pty Ltd GLNG Project Union Greenfield Agreement. The applicant, Desk Engineering, sought approval for an agreement that would establish the terms and conditions of employment for workers engaged in the GLNG Project, a significant liquefied natural gas project in Australia. The matter arose as part of the ongoing negotiation process under the Fair Work Act 2009, with the Australian Council of Trade Unions and other stakeholders participating in the proceedings.

The primary legal issue before the Full Bench was whether the proposed agreement met the statutory criteria for approval under the Fair Work Act. The court needed to assess if the agreement provided for minimum terms and conditions of employment, was consistent with the Fair Work Act, and was in the public interest. Key points of contention included the provisions regarding pay rates, working hours, and dispute resolution mechanisms within the agreement. The Full Bench had to carefully consider whether these provisions adequately protected the rights and interests of the employees involved while also ensuring that the agreement facilitated the smooth operation of the GLNG Project.

In reaching its decision, the Full Bench undertook a detailed analysis of the agreement's provisions in light of the statutory requirements. The court found that the agreement generally met the criteria for approval, noting that it provided for fair and reasonable terms and conditions of employment that were consistent with the overarching principles of the Fair Work Act. The Full Bench emphasised the importance of maintaining a balance between the interests of the employer and the rights of the employees, particularly in the context of a major industrial project. After careful deliberation, the Full Bench approved the agreement, recognising its overall fairness and suitability for the specific circumstances of the GLNG Project.

The Full Bench's decision was grounded in its determination that the agreement provided for fair and reasonable terms and conditions of employment, was consistent with the Fair Work Act, and served the public interest. The approval of the Desk Engineering Pty Ltd GLNG Project Union Greenfield Agreement was seen as a necessary step to ensure the continued operation of the GLNG Project while protecting the rights of the workers involved. This decision highlights the importance of reaching agreements that balance the needs of both employers and employees in complex industrial settings.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established