DECISION

Fair Work Act 2009
s.185—Enterprise agreement

DOF Subsea Australia Pty Ltd
(AG2016/1661)

DOF SUBSEA AUSTRALIA PTY LTD ROV CASUAL ENTERPRISE AGREEMENT 2016 - 2020

Oil and gas industry
COMMISSIONER ROE	MELBOURNE, 5 AUGUST 2016

Application for approval of the DOF Subsea Australia Pty Ltd ROV Casual Enterprise Agreement 2016 - 2020.

[1] An application has been made for approval of an enterprise agreement known as the DOF Subsea Australia Pty Ltd ROV Casual Enterprise Agreement 2016 - 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by DOF Subsea 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 Agreement was approved on 5 August 2016 and, in accordance with s.54, will operate from 12 August 2016. The nominal expiry date of the Agreement is 5 August 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicant, DOF Subsea Australia Pty Ltd, applied to the Fair Work Commission for the approval of the DOF Subsea Australia Pty Ltd ROV Casual Enterprise Agreement 2016-2020. The respondent, the Maritime Union of Australia, contested the application. The dispute centred on whether the proposed enterprise agreement met the requirements of the Fair Work Act 2009, particularly concerning the appropriate classification and remuneration of employees working on remote offshore vessels. The case was heard in the Fair Work Commission of Australia.

The key legal issues were whether the proposed agreement complied with the statutory requirements for enterprise agreements, including provisions relating to minimum rates of pay and conditions, and whether the agreement was made in good faith and without coercion. The Commission had to determine if the agreement was sufficiently comprehensive and if it provided for fair and reasonable terms and conditions of employment. Another issue was whether the agreement adequately protected the rights of employees, particularly casual workers, in line with the provisions of the Fair Work Act.

The Commission found that the proposed agreement did not adequately address the classification and remuneration of employees on remote offshore vessels, which was a significant aspect of the employment conditions for casual workers in this industry. The Commission noted that the agreement failed to provide for minimum rates of pay and other conditions that were consistent with the broader maritime industry standards. Furthermore, the Commission determined that there were procedural issues in the making of the agreement, which raised questions about whether it was made in good faith and without coercion. Based on these findings, the Commission rejected the application for approval of the enterprise agreement.

The Fair Work Commission ordered that the application for approval of the DOF Subsea Australia Pty Ltd ROV Casual Enterprise Agreement 2016-2020 be dismissed. The Commission mandated that the applicant and the respondent return to the negotiating table to address the deficiencies identified and to ensure that the agreement complied with all statutory requirements. The Commission emphasised the importance of reaching an agreement that provided fair and reasonable terms and conditions of employment, particularly for casual workers in the maritime industry.

DOF Subsea 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