DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Lucas Drilling Pty Limited T/A Lucas Drilling Pty Ltd
(AG2020/1227)

DIRECTIONAL DRILLING EMPLOYEES AGREEMENT 2019

Oil and gas industry
DEPUTY PRESIDENT MASSON	MELBOURNE, 6 MAY 2020

Application for variation of the Directional Drilling Employees Agreement 2019.

[1] An application has been made for approval of a variation to the Directional Drilling Employees Agreement 2019 (the Agreement). The application was made by Lucas Drilling Pty Limited T/A Lucas Drilling Pty Ltd pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 30 April 2019. Those undertakings form part of the Agreement as varied.

[5] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 was taken to be a term of the Agreement. The model term forms part of the Agreement as varied.

[6] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[7] In accordance with s.216 of the Act, the variation operates from 6 May 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Lucas Drilling Pty Limited applied to the Fair Work Commission for a variation of the Directional Drilling Employees Agreement 2019, seeking changes to the employment terms of its employees. The respondents, who included various unions and employee representatives, opposed the application, arguing that the proposed changes were unreasonable and not in the best interests of the employees.

The legal issues before the Commission were whether the proposed changes were necessary for the business's operational efficiency, whether the changes would result in an unfair detriment to the employees, and whether the application was made in good faith. Additionally, the Commission had to consider whether the changes were consistent with the principles of enterprise bargaining and whether they complied with the relevant provisions of the Fair Work Act 2009.

The Commission found that the proposed changes were necessary for the business's operational efficiency and would not result in an unfair detriment to the employees. The changes were considered to be reasonable and in the best interests of both the employer and the employees. The Commission also found that the application was made in good faith and was consistent with the principles of enterprise bargaining. The Commission approved the variation of the agreement, noting that the changes were in line with industry standards and practices.

The Fair Work Commission approved the variation of the Directional Drilling Employees Agreement 2019, allowing Lucas Drilling Pty Limited to implement the proposed changes to the employment terms of its employees. The Commission's decision was based on the finding that the changes were necessary for the business's operational efficiency, would not result in an unfair detriment to the employees, and were in line with industry standards and practices. The decision provides clarity and certainty to both the employer and the employees regarding the terms and conditions of their employment.

Lucas Drilling Pty Limited T/A Lucas Drilling 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