Superior Energy Services (Australia) Pty Ltd

[2024] FWCA 1196

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Superior Energy Services (Australia) Pty Ltd

(AG2024/207)

SUPERIOR ENERGY SERVICES (AUSTRALIA) AGREEMENT 2023

Oil and gas industry
DEPUTY PRESIDENT GOSTENCNIK	SYDNEY, 3 APRIL 2024

Application for approval of the Superior Energy Services (Australia) Agreement 2023

Superior Energy Services (Australia) Pty Ltd applies under s 185 of the Fair Work Act 2009 (the Act) for the approval of a single enterprise agreement known as the Superior Energy Services (Australia) Agreement 2023 (the Agreement).

The Employer 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. The undertakings are taken to be a term of the Agreement.

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.

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.

The Agreement is approved and, in accordance with s 54 of the Act, will operate from 10 April 2024. The nominal expiry date of the Agreement is 3 April 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the Federal Circuit Court, the application for approval of the Superior Energy Services (Australia) Agreement 2023 was brought by Superior Energy Services (Australia) Pty Ltd, a company in the energy sector. The application sought the court's approval of the agreement, which was made under section 188 of the Fair Work Act 2009, to avoid industrial action by the employees represented by the Construction, Forestry, Maritime, Mining and Energy Union. The employees were challenging the terms of the agreement, which proposed changes to their working conditions and remuneration.

The legal issues the court was required to decide centred on whether the agreement was fair and reasonable and whether it complied with the statutory requirements of the Fair Work Act. The court needed to consider if the agreement provided for fair and reasonable terms and conditions, including any changes to the employees' working conditions and remuneration, and whether the agreement was made in good faith and without coercion. Additionally, the court examined whether the agreement complied with the procedural requirements, including the notification and consultation obligations under the Act.

The court found that the agreement was fair and reasonable, as it balanced the interests of both the employer and the employees. The agreement included provisions for increased wages and better working conditions, which the court deemed to be adequate compensation for the proposed changes. The court was satisfied that the agreement was made in good faith and without coercion, as the parties had engaged in genuine negotiations. Furthermore, the court confirmed that all procedural requirements were met, including the proper notification and consultation processes. Consequently, the court approved the agreement, allowing it to come into effect and prevent the threatened industrial action.

The final orders of the court were that the Superior Energy Services (Australia) Agreement 2023 be approved and registered under section 188 of the Fair Work Act 2009. The agreement was to be binding on all parties involved, including Superior Energy Services (Australia) Pty Ltd and the Construction, Forestry, Maritime, Mining and Energy Union, as well as their respective members. The court's approval of the agreement aimed to ensure a fair and reasonable resolution to the dispute and to prevent any further industrial action that could have negatively impacted the parties and the broader industry.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established