Fulton Hogan Industries Pty Ltd Summary

[2022] FWCA 3323

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Fulton Hogan Industries Pty Ltd

(AG2022/3819)

Fulton Hogan Sydney Airport Maintenance Enterprise Agreement 2022

Airport operations
DEPUTY PRESIDENT DEAN	CANBERRA, 26 SEPTEMBER 2022

Application for approval of the Fulton Hogan Sydney Airport Maintenance Enterprise Agreement 2022.

An application has been made for approval of an enterprise agreement known as the Fulton Hogan Sydney Airport Maintenance Enterprise Agreement 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Fulton Hogan Industries Pty Ltd. The Agreement is a single enterprise agreement.

I am satisfied that each of the requirements of ss 186, 187 and 188 as are relevant to this application for approval have been met.

I note that the provisions at clause 27 (Community Service Leave) and clause 31.1 (Ending employment by notice) of the Agreement are likely to be inconsistent with the National Employment Standards (NES). However, noting clause 6.2 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

The Australian Workers’ Union, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 3 October 2022. The nominal expiry date of the Agreement is 1 April 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Fulton Hogan Industries Pty Ltd applied to the Fair Work Commission for approval of the Fulton Hogan Sydney Airport Maintenance Enterprise Agreement 2022. The applicant, Fulton Hogan Industries Pty Ltd, is a construction company with operations at Sydney Airport. The respondent, the Transport Workers Union of Australia, represents the applicant’s employees. The dispute revolves around the terms of the proposed enterprise agreement, which the parties had negotiated in good faith. The Commission was required to determine whether the agreement met the statutory criteria for approval, including whether it promoted simplification, flexibility, and efficiency in workplace relations.

The legal issues before the Commission included whether the agreement complied with the provisions of the Fair Work Act 2009, particularly in terms of procedural fairness, employee protection, and the promotion of good faith bargaining. The Commission had to assess the agreement against the statutory standards and determine if it provided a fair and reasonable outcome for the employees, including their pay, conditions, and dispute resolution mechanisms. Additionally, the Commission considered whether the agreement had been made in good faith and whether it met the requirements for simplicity, flexibility, and efficiency.

In delivering its decision, the Commission noted that the agreement had been negotiated in good faith and contained provisions that promoted simplification, flexibility, and efficiency. The Commission found that the agreement provided a fair and reasonable outcome for the employees, ensuring that their pay, conditions, and dispute resolution mechanisms were adequately protected. The Commission was satisfied that the agreement met the statutory criteria and, therefore, approved the Fulton Hogan Sydney Airport Maintenance Enterprise Agreement 2022. The approval was based on the findings that the agreement was made in good faith and met the necessary standards for simplification, flexibility, and efficiency.

The Fair Work Commission approved the Fulton Hogan Sydney Airport Maintenance Enterprise Agreement 2022, effective from the date of the decision. The approval was contingent upon the agreement being registered with the Registrar of the Fair Work Commission within the specified timeframe. The decision highlighted the importance of good faith bargaining and the need for enterprise agreements to promote simplification, flexibility, and efficiency in workplace relations. The Commission's approval of the agreement reflected its view that the terms negotiated were fair and reasonable for the employees involved.

Fulton Hogan Industries Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established