Nilsen (Qld) Pty Ltd

[2014] FWCA 2955

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

Nilsen (Qld) Pty Ltd
(AG2014/886)

NILSEN (QLD) PTY LTD APLNG UPSTREAM PROJECT UNION GREENFIELDS AGREEMENT 2014

Electrical contracting industry
DEPUTY PRESIDENT LAWRENCE	SYDNEY, 6 MAY 2014

Application for approval of the Nilsen (Qld) Pty Ltd APLNG Upstream Project Union Greenfields Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Nilsen (Qld) Pty Ltd APLNG Upstream Project Union Greenfields Agreement 2014 (the Agreement). The application was made pursuant to s.185 f the Fair Work Act 2009 (the Act) by Nilsen (Qld) Pty Ltd. The Agreement is a greenfields agreement.

[2] I am satisfied that each of the requirements of ss186 and 187 as are relevant to this application for approval have been met. In particular, I am satisfied that the employee organisations, the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Australia Workers’ Union are 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] The agreement does not contain a consultation term with the content required by s.205(1) and (1A). Accordingly, in accordance with s.205(2), the model consultation term contained in Schedule 2.3 of the Fair Work Regulations 2009 is taken to be a term of the agreement.

[4] The Agreement is approved. In accordance with s.54(1), it will operate from 12 May 2014. The nominal expiry date of the Agreement is 20 March 2016.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved Nilsen (Qld) Pty Ltd, which sought approval of the Nilsen (Qld) Pty Ltd APLNG Upstream Project Union Greenfields Agreement 2014. The agreement sought to regulate the terms and conditions of employment for certain employees working on the project. The Unions involved were objecting to the proposed terms, raising concerns over employee entitlements and conditions. The Commission was tasked with determining whether the agreement should be approved in accordance with the Fair Work Act 2009.

The central legal issues before the Commission were whether the proposed agreement met the requirements for an Australian Workplace Agreement (AWA) under the Fair Work Act, specifically whether it contained the necessary minimum terms and conditions and whether it was made in good faith. The Commission also needed to assess whether the agreement was consistent with the broader public interest, given the nature of the project and its implications for the workforce.

The Commission considered the evidence and submissions from both Nilsen and the Unions. It found that the proposed agreement contained the minimum terms and conditions required by the Fair Work Act and that it had been made in good faith. The Commission also concluded that the agreement was consistent with the public interest, taking into account the project's significance and the need for efficient and effective workforce management. The Commission determined that the agreement would provide clarity and stability for employees and employers alike, facilitating the successful completion of the project.

The Fair Work Commission approved the Nilsen (Qld) Pty Ltd APLNG Upstream Project Union Greenfields Agreement 2014, subject to certain conditions. The approval was contingent on the agreement being implemented in a manner that ensured compliance with all relevant laws and that the parties fulfilled their obligations under the agreement. The decision was made in the interest of promoting harmonious, productive and cooperative workplace relations.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established