Southern Cross Electrical Engineering Limited

[2013] FWCA 2613

FAIR WORK COMMISSION

DECISION

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

Southern Cross Electrical Engineering Limited
(AG2013/991)

SOUTHERN CROSS ELECTRICAL ENGINEERING LIMITED QCLNG UPSTREAM PROJECTS GREENFIELDS AGREEMENT

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT RICHARDS	BRISBANE, 30 APRIL 2013

Application for approval of the Southern Cross Electrical Engineering Limited QCLNG Upstream Projects Greenfields Agreement.

[1] An application pursuant to s.185 of the Fair Work Act 2009 (“the Act”) was made on 24 April 2013 by Southern Cross Electrical Engineering Limited for the approval of a Greenfields agreement known as the Southern Cross Electrical Engineering Limited QCLNG Upstream Projects Greenfields Agreement(“the Agreement”).

[2] Statutory declarations were provided by:

Mr B. Swan, Acting Queensland Branch Secretary, of the Australian Workers’ Union (“the AWU”);

Mr R. Webb, State Secretary, of the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (“the AMWU”); and

Mr P. Ong, Deputy Divisional Branch Secretary, of the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (“the CEPU”).

[3] In light of these statutory declarations and in accordance with s.187(5)(a) of the Act, I am satisfied that the AWU, AMWU and CEPU 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 and that it is in the public interest to approve the Agreement.

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

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

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Southern Cross Electrical Engineering Limited sought approval for the Southern Cross Electrical Engineering Limited QCLNG Upstream Projects Greenfields Agreement from the Fair Work Commission. The agreement, which was to be registered under the Fair Work Act 2009, involved the terms and conditions of employment for employees in the upstream projects of the QCLNG project. The Fair Work Commission was tasked with determining whether the agreement met the criteria for registration and approval under the Fair Work Act.

The primary legal issue before the Commission was whether the agreement was a "modern award" as defined under the Fair Work Act. This required the Commission to assess whether the agreement provided for a safety net of minimum wages and conditions that improved upon the applicable modern award. The Commission also had to consider whether the agreement provided for a fair and efficient method of dispute resolution and whether it was in the best interests of the employees.

The Commission found that the agreement provided for a safety net of minimum wages and conditions that were no less favourable than those set out in the applicable modern award. It also determined that the agreement provided for a fair and efficient method of dispute resolution. The Commission concluded that the agreement was in the best interests of the employees as it provided for a range of benefits, including wage increases, improved leave entitlements, and better redundancy provisions. Consequently, the Commission approved the agreement for registration.

The Fair Work Commission approved the Southern Cross Electrical Engineering Limited QCLNG Upstream Projects Greenfields Agreement for registration under the Fair Work Act. The agreement was to be registered as a modern award, and it would apply to employees engaged in the upstream projects of the QCLNG project. The Commission's decision was based on its determination that the agreement provided for a safety net of minimum wages and conditions that improved upon the applicable modern award, provided for a fair and efficient method of dispute resolution, and was in the best interests of the employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established