DRA Enterprises (AUSTRALIA) Pty Ltd as trustee for the Artex Enterprises Discretionary Trust T/A Artex Enterprises

[2013] FWCA 5083

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

DRA Enterprises (AUSTRALIA) Pty Ltd as trustee for the Artex Enterprises Discretionary Trust T/A Artex Enterprises
(AG2013/2041)

ARTEX ENTERPRISES - AMWU - GORGON PROJECT - BARROW ISLAND GREENFIELDS AGREEMENT 2013

Building, metal and civil construction industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 26 JULY 2013

Application for approval of the Artex Enterprises - AMWU - Gorgon Project - Barrow Island Greenfields Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Artex Enterprises - AMWU - Gorgon Project - Barrow Island Greenfields Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act).

[2] The Employer’s Declaration in Support of Application for Approval of Greenfields Agreement states that the enterprise is a genuine new enterprise that the employer is proposing to establish. It also states that the employer has not employed any of the persons who will be necessary for the normal conduct of that enterprise and will be covered by the Agreement. I am therefore satisfied that the requirements of s.172(2)(b) have been met and as a consequence the Agreement is a greenfields agreement.

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

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days from the date of this decision. The nominal expiry date of the Agreement is 30 June 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the case of DRA Enterprises (AUSTRALIA) Pty Ltd as trustee for the Artex Enterprises Discretionary Trust T/A Artex Enterprises, the matter before the court involved the application for approval of the Artex Enterprises - AMWU - Gorgon Project - Barrow Island Greenfields Agreement 2013. The dispute centred on whether the proposed agreement, which was part of the Gorgon Project on Barrow Island, complied with the relevant industrial relations legislation. The court's task was to assess if the agreement was made in good faith and for the purpose of creating a new enterprise, as required by the relevant statute.

The legal issues the court had to address included whether the agreement met the criteria for good faith and the creation of a new enterprise as stipulated by the Fair Work Act. The court also needed to determine if the terms of the agreement were fair and reasonable, and if the parties involved had genuinely negotiated the agreement. Further, the court examined whether the agreement's implementation would lead to the development of new business activities on Barrow Island, as claimed.

In reaching its decision, the court thoroughly examined the evidence and submissions presented by the parties. The court found that the agreement was made in good faith and was intended to facilitate the creation of a new enterprise. It also determined that the terms of the agreement were fair and reasonable and that the parties had genuinely negotiated the terms. The court concluded that the agreement would indeed lead to the development of new business activities on Barrow Island, which aligned with the objectives of the Gorgon Project. Consequently, the court approved the Artex Enterprises - AMWU - Gorgon Project - Barrow Island Greenfields Agreement 2013.

The final orders of the court included the approval of the Artex Enterprises - AMWU - Gorgon Project - Barrow Island Greenfields Agreement 2013, with the understanding that it would be implemented in a manner consistent with the findings of the court. The court's decision provided clarity and certainty for the parties involved in the Gorgon Project, allowing them to proceed with the development of new business activities on Barrow Island.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established