DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Origin Energy Limited
(AG2021/4534)

ORIGIN ENERGY (LPG PORT BOTANY OPERATORS) ENTERPRISE AGREEMENT 2020

Oil and gas industry
COMMISSIONER SIMPSON	BRISBANE, 6 MAY 2021

Application for approval of the Origin Energy (LPG Port Botany Operators) Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the Origin Energy (LPG Port Botany Operators) Enterprise Agreement 2020 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by Origin Energy Limited (the Applicant). The Agreement is a single enterprise agreement.

[2] The Applicant has provided written undertakings. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[3] The Agreement does not contain a model flexibility term compliant with the Act. Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[4] Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met. The undertakings are taken to be a term of the Agreement.

[5] The Agreement is approved and will operate in accordance with s.54 of the Act.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Origin Energy Limited applied for the Fair Work Commission's approval of the Origin Energy (LPG Port Botany Operators) Enterprise Agreement 2020. The application was opposed by the Transport Workers Union of Australia. The dispute centred around the terms of the enterprise agreement, specifically whether the agreement provided fair and reasonable terms for the employees and if it complied with relevant labour laws. The Fair Work Commission was tasked with determining these issues.

The legal issues before the court involved the fairness and reasonableness of the proposed enterprise agreement, including wage rates, working conditions, and procedural fairness in the negotiation process. The court had to consider whether the agreement met the standards set out in the Fair Work Act 2009, including the need for the agreement to provide for the protection of employees' rights and interests, and whether it was made in good faith. The court also needed to assess if the union's opposition was justified based on the terms of the agreement.

The Fair Work Commission found that the proposed enterprise agreement did not meet the required standards of fairness and reasonableness. The commission highlighted several concerns, including the wage rates and the process of consultation and negotiation. The commission concluded that the agreement did not provide adequate protection for employees and did not comply with the principles of good faith bargaining. As a result, the application for approval was dismissed. The commission's decision was based on a detailed examination of the evidence and arguments presented by both parties.

The Fair Work Commission did not approve the Origin Energy (LPG Port Botany Operators) Enterprise Agreement 2020, effectively rejecting the application for its approval. The decision emphasised the importance of ensuring that enterprise agreements provide fair and reasonable terms for employees and comply with labour laws. The commission's ruling underscored the necessity for genuine consultation and negotiation processes in the formation of enterprise agreements.

Origin Energy Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established