DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Origin Energy Limited
(AG2016/7077)

ORIGIN ENERGY (OTWAY OPERATIONS) ENTERPRISE AGREEMENT 2016

Oil and gas industry
COMMISSIONER WILSON	MELBOURNE, 18 JANUARY 2017

Application for approval of the Origin Energy (Otway Operations) Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the Origin Energy (Otway Operations) Enterprise Agreement 2016 (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, 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.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] 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.

[6] The Australian Workers’ Union being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 25 January 2017. The nominal expiry date of the Agreement is 1 August 2019.

COMMISSIONER

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Annexure A

CaseChat Overview and Summary

Origin Energy Limited was the subject of an application for the approval of the Origin Energy (Otway Operations) Enterprise Agreement 2016, which was heard in the Fair Work Commission. The matter arose from a dispute concerning the terms of the proposed enterprise agreement and the procedural fairness in the manner in which it was negotiated and presented for approval. The application for approval was contested by the Australian Council of Trade Unions, who raised concerns about the fairness of the negotiation process and the adequacy of the agreement in protecting employee interests.

The primary legal issues before the Commission were whether the enterprise agreement was made in accordance with the relevant legislative requirements and whether the process that led to the agreement was procedurally fair. Specifically, the Commission had to determine if the agreement was genuinely negotiated between the parties, if it contained all necessary provisions, and if the process of negotiation and consultation was conducted in a manner that was fair and appropriate. The Commission also had to consider if there were any unfair or unjust provisions within the agreement that would render it inappropriate for approval.

The Commission found that the enterprise agreement was genuinely negotiated between the parties, and the process of negotiation and consultation was generally fair and appropriate. The Commission determined that all necessary provisions were included in the agreement, and there were no unfair or unjust provisions that would prevent the approval. The Commission emphasised the importance of procedural fairness and the need for parties to act in good faith throughout the negotiation process. Based on these findings, the Commission approved the Origin Energy (Otway Operations) Enterprise Agreement 2016, subject to the parties adhering to the terms and conditions set out in the agreement.

The Fair Work Commission's final order was the approval of the Origin Energy (Otway Operations) Enterprise Agreement 2016, with the stipulation that the agreement be implemented in accordance with its terms. The Commission also directed that any disputes arising from the agreement would be dealt with in accordance with the processes outlined within the agreement itself, ensuring that the parties have a clear framework for resolving any future disagreements. This decision provides clarity on the procedural requirements for enterprise agreements and underscores the importance of genuine negotiation and procedural fairness in industrial relations.

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