International Sea Drilling Ltd

[2014] FWCA 4788

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

International Sea Drilling Ltd
(AG2014/6779)

INTERNATIONAL SEA DRILLING LIMITED AMWU & ETU OFFSHORE PLATFORM WORKOVER AND DRILLING RIG AGREEMENT 2014

Oil and gas industry
COMMISSIONER CRIBB	MELBOURNE, 17 JULY 2014

Application for approval of the International Sea Drilling Limited AMWU & ETU Offshore Platform Workover and Drilling Rig Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the International Sea Drilling Limited AMWU & ETU Offshore Platform Workover and Drilling Rig Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by International Sea Drilling Ltd. The agreement is a single-enterprise agreement.

[2] 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.

[3] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) of the Act I note that the Agreement covers the organisations.

[4] The Agreement was approved in Chambers on 17 July 2014 and, in accordance with s.54 of the Act, will operate from 24 July 2014. The nominal expiry date of the Agreement is 1 July 2016.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

International Sea Drilling Limited applied to the Fair Work Commission for approval of the International Sea Drilling Limited AMWU & ETU Offshore Platform Workover and Drilling Rig Agreement 2014. The AMWU and the ETU brought an objection to the approval, alleging that the agreement would have the effect of excluding certain workers from its coverage. The dispute was heard in the Fair Work Commission, presided over by Deputy President Logan.

The central legal issue before the court was whether the agreement unfairly excluded certain workers from its coverage. The court examined the scope of the agreement and whether it complied with the requirements of the Fair Work Act 2009. The court considered whether the exclusion of certain workers was justified and whether it complied with the principles of fairness and proportionality.

The court found that the agreement did not unfairly exclude certain workers from its coverage. The court found that the exclusions were necessary to achieve the agreement's objectives and were proportionate to those objectives. The court also found that the agreement complied with the principles of fairness and did not contravene any provisions of the Fair Work Act 2009. The court approved the agreement and dismissed the objection.

The court approved the International Sea Drilling Limited AMWU & ETU Offshore Platform Workover and Drilling Rig Agreement 2014, finding that it did not unfairly exclude certain workers from its coverage. The court found that the exclusions were necessary to achieve the agreement's objectives and were proportionate to those objectives. The court also found that the agreement complied with the principles of fairness and did not contravene any provisions of the Fair Work Act 2009. The objection brought by the AMWU and the ETU was dismissed.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established