Fail Safe Engineering Pty Ltd

[2014] FWCA 8095

FAIR WORK COMMISSION

DECISION

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

Fail Safe Engineering Pty Ltd
(AG2014/7878)

FAIL SAFE ENGINEERING QUEENSLAND LNG PROJECTS UNION GREENFIELD AGREEMENT 2014

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT RICHARDS	BRISBANE, 13 NOVEMBER 2014

Application for approval of the Fail Safe Engineering Queensland LNG Projects Union Greenfield Agreement 2014.

[1] An application pursuant to s.185 of the Fair Work Act 2009 (“the Act”) was made on 15 October 2014 by Fail Safe Engineering Pty Ltd for the approval of a Greenfields agreement known as the Fail Safe Engineering Queensland LNG Projects Union Greenfield Agreement 2014(“the Agreement”).

[2] Statutory declarations were provided by:

Mr R. Webb, 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

The matter before the Fair Work Commission involved an application for the approval of a greenfield agreement between Fail Safe Engineering Pty Ltd and the Queensland LNG Projects Union. The agreement in question sought to regulate various aspects of employment conditions within the unionised workforce of Fail Safe Engineering, including wages, working hours, and dispute resolution mechanisms. The Commission was tasked with determining whether the agreement met the statutory criteria for approval under the Fair Work Act 2009.

The central legal issues before the Commission revolved around whether the agreement provided for a genuine enterprise bargaining agreement and whether it complied with the procedural and substantive requirements of the Fair Work Act. Specifically, the Commission had to consider whether the agreement had been made in good faith and whether it provided for a safety net of minimum terms and conditions of employment. Additionally, the Commission had to ensure that the agreement did not undermine the protection of employees’ rights and did not otherwise contravene any provisions of the Act.

The Commission found that the agreement met the criteria for approval under the Fair Work Act. It was determined that the agreement had been made in good faith, provided a safety net of minimum terms and conditions, and did not undermine the protection of employees’ rights. The Commission also noted that the agreement contained provisions for dispute resolution that were fair and effective. As such, the Commission approved the Fail Safe Engineering Queensland LNG Projects Union Greenfield Agreement 2014, and it was registered with the Fair Work Commission.

No further orders were made by the Commission. The approval of the agreement allows it to come into effect and regulate the employment conditions of the unionised workforce of Fail Safe Engineering in accordance with its terms.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established