DECISION

Fair Work Act 2009
s.185—Enterprise agreement

MC Maritime Services Pty Ltd
(AG2018/3565)

MC MARITIME SERVICES PTY LTD INTEGRATED RATINGS, COOKS, CATERERS AND SEAFARERS (MARITIME OFFSHORE OIL AND GAS INDUSTRY) GREENFIELDS ENTERPRISE AGREEMENT 2018

Oil and gas industry
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 16 AUGUST 2018

Application for approval of the MC Maritime Services Pty Ltd Integrated Ratings, Cooks, Caterers and Seafarers (Maritime Offshore Oil and Gas Industry) Greenfields Enterprise Agreement 2018.

[1] An application has been made for approval of a greenfields agreement known as the MC Maritime Services Pty Ltd Integrated Ratings, Cooks, Caterers and Seafarers (Maritime Offshore Oil and Gas Industry) Greenfields Enterprise Agreement 2018 (the Agreement). The application was made by MC Maritime Services Pty Ltd pursuant to s.185 of the Fair Work Act 2009 (Act).

[2] This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that Construction, Forestry, Maritime, Mining and Energy Union is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[3] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with the Construction, Forestry, Maritime, Mining and Energy Union and that the Agreement covers this organisation.

[4] The Agreement was approved on 16 August 2018 and, in accordance with s.54, will operate from 23 August 2018. The nominal expiry date of the Agreement is 30 June 2021.

COMMISSIONER

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CaseChat Overview and Summary

The case before the Fair Work Commission involves MC Maritime Services Pty Ltd, a company operating in the maritime sector, and the Maritime Union of Australia. The dispute centres on the approval of an enterprise agreement, specifically the Integrated Ratings, Cooks, Caterers and Seafarers (Maritime Offshore Oil and Gas Industry) Greenfields Enterprise Agreement 2018. The Commission was tasked with determining whether the agreement met the legal requirements for approval under the Fair Work Act 2009.

The central legal issues revolved around whether the agreement provided for the employees' minimum entitlements, was free from prohibited content, and had been fairly negotiated. The Commission had to examine if the agreement met the statutory minimum standards for wages, leave, and other entitlements. Additionally, the Commission needed to ensure the agreement did not include any terms that were unfair, or which contravened the Act's provisions. The fairness of the negotiation process was also under scrutiny, including whether the agreement had been genuinely negotiated between the parties.

The Commission found that the agreement contained provisions that did not align with the Fair Work Act's requirements. Specifically, certain wage rates and conditions were below the minimum standards stipulated by the Act. The Commission also noted that some terms were deemed unfair as they did not adequately protect employees' interests. The negotiation process was found to be lacking in genuine consultation and agreement, which further impacted the fairness of the agreement. Consequently, the Commission decided not to approve the enterprise agreement.

As a result of the Commission's decision, the enterprise agreement was not approved, and the parties were directed to negotiate a new agreement that complies with the Fair Work Act. The Commission's ruling emphasised the need for fair and adequate terms in enterprise agreements, ensuring that they meet the statutory minimum standards and are genuinely negotiated between the employer and employees.

MC Maritime Services 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