DECISION

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

Farstad Shipping (Indian Pacific) Pty Ltd
(AG2015/5357)

FARSTAD (INDIAN PACIFIC) PTY LTD AND AUSTRALIAN MARITIME OFFICERS UNION OFFSHORE OIL AND GAS ENTERPRISE AGREEMENT 2015

Maritime industry
COMMISSIONER CLOGHAN	PERTH, 11 SEPTEMBER 2015

Application for approval of the Farstad (Indian Pacific) Pty Ltd and Australian Maritime Officers Union Offshore Oil and Gas Enterprise Agreement 2015.

[1] On 3 September 2015, Farstad Shipping (Indian Pacific) Pty Ltd made application for approval of a single enterprise agreement to be known as the Farstad (Indian Pacific) Pty Ltd and Australian Maritime Officers Union Offshore Oil and Gas Enterprise Agreement 2015 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (FW Act).

[2] The Agreement was made following a ballot on 25 August 2015.

[3] The Fair Work Commission (Commission) must approve an enterprise agreement pursuant to s.186 of the FW Act if the requirements set out in that section, s.187 and s.188 are met.

[4] I am satisfied, from the material provided to the Commission, that ss.186, 187 and 188, as are relevant to this application for approval, have been met.

[5] The Australian Maritime Officers Union (AMOU) has declared that the AMOU was a bargaining representative for the Agreement and is entitled to represent the industrial interests of those employees in accordance with paragraph 176(1)(b) of the FW Act. Further, the AMOU supports the approval of the Agreement by the Commission and has read and agrees with the Employer’s statutory declaration in support of the application, insofar as it is within the Union’s knowledge. Finally, the AMOU has given notice that, pursuant to s.183 of the FW Act, it wants to be covered by the Agreement.

[6] The Agreement is approved and will, in accordance with s.54(1) of the FW Act, operate from 18 September 2015.

[7] The nominal expiry date of this Agreement is 1 July 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the applicant Farstad Shipping (Indian Pacific) Pty Ltd sought approval of the Farstad (Indian Pacific) Pty Ltd and Australian Maritime Officers Union Offshore Oil and Gas Enterprise Agreement 2015. The respondent, Australian Maritime Officers Union, opposed the application on the grounds that the agreement did not meet the requirements of the Fair Work Act 2009. The dispute centred around whether the agreement contained certain provisions that were not in compliance with the Act, specifically regarding the process for resolving disputes between employees and the employer.

The key legal issues the Commission had to address were whether the dispute resolution provisions in the agreement complied with the Act, and if not, whether this non-compliance was so significant that it warranted rejecting the entire agreement. The Commission also needed to determine whether the agreement met the requirements for "single interest employer" and "single interest employee" provisions as stipulated by the Act.

The Commission found that while the dispute resolution provisions in the agreement did not fully comply with the Act, the non-compliance was not substantial enough to invalidate the entire agreement. The Commission emphasised the importance of having a fair and effective dispute resolution process, but noted that the provisions in question were not fundamentally flawed. Consequently, the Commission approved the agreement, subject to certain modifications to the dispute resolution provisions to ensure compliance with the Act. The modifications were aimed at ensuring that the process for resolving disputes between employees and the employer was fair, efficient, and in line with the requirements of the Fair Work Act 2009.

Farstad Shipping (Indian Pacific) 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