DECISION

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

Farstad Shipping (Indian Pacific) Pty Ltd
(AG2015/5360)

FARSTAD (INDIAN PACIFIC) PTY LTD (INTEGRATED RATINGS, COOKS AND CATERERS) 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 (Integrated Ratings, Cooks and Caterers) 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 (Integrated Ratings, Cooks and Caterers) 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 Maritime Union of Australia (MUA) has declared that the MUA 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 MUA 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 MUA 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

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CaseChat Overview and Summary

The case involved Farstad Shipping (Indian Pacific) Pty Ltd, which sought approval of the 2015 Offshore Oil and Gas Enterprise Agreement. This agreement pertained to integrated ratings, cooks, and caterers. The application was heard in the Fair Work Commission. The primary legal issue before the Commission was whether the agreement met the necessary criteria under the Fair Work Act 2009 to be considered a "better off overall test" (BOOT) agreement. This required determining if the agreement provided employees with at least the same conditions as those they would have under the relevant award or safety net award, with the potential for additional benefits.

The Commission evaluated the agreement against the statutory requirements, focusing on the comprehensiveness of the agreement's provisions and whether it provided employees with adequate protection and benefits. The court examined the specific terms of the agreement, the process through which it was negotiated, and whether there was genuine agreement between the parties. The Commission also considered the implications of the agreement on the employees, including any potential improvements to their working conditions and entitlements.

Upon reviewing the agreement, the Commission concluded that it met the statutory requirements for approval. The agreement was found to be comprehensive and provided employees with benefits that were at least equivalent to those under the relevant award, with several provisions offering additional advantages. The negotiation process was deemed fair and genuine, with the agreement reflecting the true intentions of both parties. Consequently, the Commission approved the Offshore Oil and Gas Enterprise Agreement. This decision ensured that employees of Farstad Shipping (Indian Pacific) Pty Ltd would benefit from the terms of the agreement, which were considered to be fair and reasonable.

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