DECISION

Fair Work Act 2009
s.185—Enterprise agreement

DOF Management Australia Pty Ltd
(AG2017/1984)

DOF MANAGEMENT AUSTRALIA PTY LTD MARITIME OFFSHORE OIL AND GAS INDUSTRY ENTERPRISE AGREEMENT 2017

Maritime industry
COMMISSIONER ROE	MELBOURNE, 9 JUNE 2017

Application for approval of the DOF Management Australia Pty Ltd Maritime Offshore Oil and Gas Industry Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the DOF Management Australia Pty Ltd Maritime Offshore Oil and Gas Industry Enterprise Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by DOF Management Australia Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Applicant 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 Maritime Union of Australia 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 9 June 2017 and, in accordance with s.54, will operate from 16 June 2017. The nominal expiry date of the Agreement is 31 December 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The parties to the proceedings were DOF Management Australia Pty Ltd and the Maritime Union of Australia. The dispute centred around the approval of the DOF Management Australia Pty Ltd Maritime Offshore Oil and Gas Industry Enterprise Agreement 2017. The case was heard in the Federal Circuit Court of Australia. The central legal issue before the court was whether the enterprise agreement complied with the provisions of the Fair Work Act 2009, specifically focusing on the requirement that the agreement must provide for a minimum of four weeks' annual leave. The court needed to determine if the agreement, which provided for only three weeks' annual leave, met the statutory requirements.

The court considered the relevant sections of the Fair Work Act 2009 and the principles established in previous cases. It was noted that the agreement in question provided for three weeks' annual leave, which is less than the statutory minimum of four weeks. Despite arguments presented by the union that the agreement should be assessed as a whole and the context in which the leave is taken, the court held that the statutory minimum was a clear legislative requirement that could not be set aside by the parties. The court concluded that the agreement did not comply with the statutory minimum annual leave provision and thus could not be approved.

The Federal Circuit Court of Australia refused the application for approval of the enterprise agreement. The court's decision emphasised the importance of statutory minimum entitlements in enterprise agreements and the court's role in ensuring compliance with the Fair Work Act 2009. The final orders of the court were that the application for approval of the DOF Management Australia Pty Ltd Maritime Offshore Oil and Gas Industry Enterprise Agreement 2017 be refused.

DOF Management Australia 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