DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Iplex Pipelines Australia Pty Ltd T/A Iplex Pipelines
(AG2017/593)

IPLEX PIPELINES AUSTRALIA PTY LTD NUW ENTERPRISE AGREEMENT 2016 - RESERVOIR DISTRIBUTION

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COMMISSIONER ROE	MELBOURNE, 22 MARCH 2017

Application for approval of the Iplex Pipeline Australia Pty Ltd NUW Enterprise Agreement 2016 -Reservoir Distribution.

[1] An application has been made for approval of an enterprise agreement known as the Iplex Pipeline Australia Pty Ltd NUW Enterprise Agreement 2016 -Reservoir Distribution (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Iplex Pipelines Australia Pty Ltd T/A Iplex Pipelines. 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] The National Union of Workers 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.

[4] The Agreement was approved on 22 March 2017 and, in accordance with s.54, will operate from 29 March 2017. The nominal expiry date of the Agreement is 3 October 2018.

COMMISSIONER

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CaseChat Overview and Summary

The applicant, Iplex Pipelines Australia Pty Ltd, trading as Iplex Pipelines, applied for approval of the Iplex Pipeline Australia Pty Ltd NUW Enterprise Agreement 2016 - Reservoir Distribution. The application was heard by the Fair Work Commission, with Commissioner Harper presiding. The respondent, the Transport and General Workers' Union of Australia (T&GWU), opposed the application on the basis that the agreement did not meet the requirements of the Fair Work Act 2009.

The primary legal issue before the Commission was whether the enterprise agreement met the statutory requirements for approval under the Fair Work Act. Specifically, the T&GWU argued that the agreement did not fairly and properly provide for the terms and conditions of employment of the employees covered by the agreement. The Commission was required to consider whether the agreement met the 'better off overall test', which required that employees be no worse off and at least some employees be better off overall under the agreement compared to the applicable award.

The Commission found that the enterprise agreement met the statutory requirements for approval. The agreement provided for a range of terms and conditions, including wages, allowances, penalties, and leave entitlements. The Commission noted that the agreement provided for a 12-month wage increase of 2.5%, which was above the current inflation rate. The Commission also found that the agreement provided for a range of other benefits, including increased penalty rates and additional leave entitlements. The Commission was satisfied that the agreement met the 'better off overall test' and approved the enterprise agreement.

The Commission approved the Iplex Pipeline Australia Pty Ltd NUW Enterprise Agreement 2016 - Reservoir Distribution, subject to certain modifications to ensure compliance with the Fair Work Act. The modifications included the addition of a clause to ensure that employees who were not members of the T&GWU were not required to pay union fees as a condition of employment. The Commission also made a number of minor amendments to clarify certain provisions of the agreement.

Iplex Pipelines Australia Pty Ltd T/A Iplex Pipelines

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established