DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Origin Energy Limited
(AG2018/690)

ORIGIN ENERGY (LPG SOMERTON) ENTERPRISE AGREEMENT 2017

Road transport industry
DEPUTY PRESIDENT BEAUMONT	PERTH, 28 MAY 2018

Application for approval of the Origin Energy (LPG Somerton) Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Origin Energy (LPG Somerton) Enterprise Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Origin Energy Limited. The agreement is a single enterprise agreement.

[2] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure A. 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] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[4] 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.

[5] The Agreement was approved on 28 May 2018 and, in accordance with s.54, will operate from 4 June 2018. The nominal expiry date of the Agreement is 26 November 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Origin Energy Limited applied to the Fair Work Commission for approval of the Origin Energy (LPG Somerton) Enterprise Agreement 2017. The application followed a decision by the company to close its LPG facility at Somerton in Victoria, which led to the dismissal of employees covered by the agreement. The dismissed employees sought to challenge the agreement's approval on various grounds, including whether it provided adequate redundancy entitlements and whether it was made in good faith.

The legal issues before the Commission included whether the enterprise agreement was made in accordance with the relevant provisions of the Fair Work Act 2009, whether it was made in good faith, and whether it provided appropriate redundancy entitlements. The dismissed employees argued that the agreement did not meet these criteria and that its approval would contravene the principles of procedural fairness and good faith bargaining.

In determining the application, the Commission considered the process through which the agreement was made, the nature of the changes to the employees' conditions, and the provisions of the agreement itself. The Commission found that the agreement had been made in good faith and that it complied with the relevant statutory provisions. The Commission also concluded that the redundancy entitlements provided by the agreement were appropriate and that its approval would not contravene the principles of procedural fairness. Accordingly, the application for approval of the enterprise agreement was granted. The Commission made orders approving the agreement and directing its registration.

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