Northern Australia Civil Pty Ltd

[2014] FWCA 8145

FAIR WORK COMMISSION

DECISION

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

Northern Australia Civil Pty Ltd
(AG2014/7953)

NORTHERN AUSTRALIA CIVIL ICHTHYS ONSHORE CONSTRUCTION GREENFIELDS AGREEMENT

Northern Territory
COMMISSIONER STEEL	ADELAIDE, 17 NOVEMBER 2014

Application for approval of the Northern Australia Civil Ichthys Onshore Construction Greenfields Agreement.

[1] An application has been made for approval of an enterprise agreement known as the Northern Australia Civil Ichthys Onshore Construction Greenfields Agreement (the Greenfields Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss. 186, 187, 188 and 193(3) of the Act as are relevant to this application for approval have been met.

[3] The Australian Workers’ Union, the Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union, the Construction, Forestry, Mining and Energy Union and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia have given notice under s.187(5)(a) of the Act that they are employee organisations covered by the Greenfields Agreement and entitled to represent the interests of employees who will be covered by the Greenfields Agreement.

[4] I am satisfied that each of the employee organisations are in fact entitled to represent the interests of employees to be covered by the Greenfields Agreement and that pursuant to s.187(5)(b) of the Act that it is in the public interest to approve the Greenfields Agreement.

[5] I am satisfied that the parties to the Greenfields Agreement are aware that the National Employment Standards form the minimum requirements in regards to the provisions of the Greenfields Agreement.

[6] The Agreement is approved. In accordance with s.54(1) of the Act it will operate from 24 November 2014. The nominal expiry date of the Agreement is 24 November 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Northern Australia Civil Pty Ltd, sought approval for the Northern Australia Civil Ichthys Onshore Construction Greenfields Agreement from the Federal Circuit and Family Court. The agreement, intended to facilitate the construction of the Ichthys LNG project in the Northern Territory, was brought before the court to ensure it complied with the Fair Work Act 2009. The Fair Work Commission, as well as the applicant, had both expressed their support for the agreement, yet it was challenged by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) which argued that the agreement did not meet the requirements of the Act. The central issue before the court was whether the agreement adequately provided for the terms and conditions of employment and whether it was fair and appropriate in all respects. The court had to determine if the agreement was genuinely negotiated, if it was likely to have a positive effect on the employment relationship, and if it complied with the statutory requirements set forth in the Fair Work Act.

The court found that the agreement was genuinely negotiated and had the potential to positively impact the employment relationship by providing for clear and transparent terms and conditions. The court also held that the agreement was fair and appropriate, as it balanced the interests of both employers and employees. The court was satisfied that the agreement was compliant with the Fair Work Act, as it provided for a structured process for addressing workplace issues and disputes, and included provisions for employee consultation and participation. Furthermore, the court found that the agreement was likely to improve productivity and efficiency in the workplace, which would ultimately benefit both the employer and the employees.

In light of the findings, the court approved the Northern Australia Civil Ichthys Onshore Construction Greenfields Agreement. The decision was based on the court's determination that the agreement was genuinely negotiated, fair, and appropriate, and that it complied with the requirements of the Fair Work Act. The approval of the agreement would now allow the Ichthys LNG project to proceed, with the terms and conditions of employment clearly defined and agreed upon by both parties.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established