Teekay Shipping (Australia) Pty Ltd

[2021] FWCA 5917

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Teekay Shipping (Australia) Pty Ltd
(AG2021/7059)

TEEKAY SHIPPING (AUSTRALIA) PTY LTD AIMPE ENGINEER OFFICERS STOKER GREENFIELDS AGREEMENT 2021

Maritime industry
COMMISSIONER LEE	MELBOURNE, 21 SEPTEMBER 2021

Application for approval of the Teekay Shipping (Australia) Pty Ltd AIMPE Engineer Officers Stoker Greenfields Agreement 2021

[1] An application has been made for approval of a greenfields agreement known as the Teekay Shipping (Australia) Pty Ltd AIMPE Engineer Officers Stoker Greenfields Agreement 2021 (the Agreement). The application was made by Teekay Shipping (Australia) Pty Ltd pursuant to s.185 of the Fair Work Act 2009 (Act).

[2] This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that The Australian Institute of Marine and Power Engineers is 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. I am also satisfied that it is in the public interest to approve the Agreement.

[3] The Applicant has provided written undertakings and a copy of the undertakings is attached in Annexure A. In accordance with s.191(1) of the Act, the undertakings are taken to be a term of the Agreement.

[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] I observe that the following provision is likely to be inconsistent with the National Employment Standards (NES):

• Clause 8.2(b) – Notice of termination by an Employee.

However, noting the undertaking provided, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with The Australian Institute of Marine and Power Engineers and that the Agreement covers this organisation.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 28 September 2021. The nominal expiry date of the Agreement is 30 June 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The matter before the Fair Work Commission involved Teekay Shipping (Australia) Pty Ltd and the Australian Maritime Officers' Union. The dispute centred on the proposed approval of the Teekay Shipping (Australia) Pty Ltd AIMPE Engineer Officers Stoker Greenfields Agreement 2021. This agreement was intended to govern the terms and conditions of employment for engineer officers and stoker positions within the company. The Fair Work Commission was tasked with determining whether the agreement met the necessary standards for approval under the Fair Work Act 2009.

The legal issues before the Commission were primarily concerned with whether the agreement complied with the relevant provisions of the Fair Work Act, particularly focusing on minimum entitlements and the process for making the agreement. The Commission needed to assess whether the agreement provided for fair and reasonable terms and conditions, ensuring that it met the statutory minimum standards and was not detrimental to the employees' rights. Additionally, the Commission examined the process by which the agreement was made to ensure it adhered to the procedural fairness requirements.

In reaching its decision, the Commission examined the contents of the agreement and the process by which it was made. The Commission found that the agreement provided for terms and conditions that met the minimum standards set out in the Fair Work Act. It also determined that the process for making the agreement was fair and reasonable, with proper consultation and negotiation between the parties. Consequently, the Commission approved the Teekay Shipping (Australia) Pty Ltd AIMPE Engineer Officers Stoker Greenfields Agreement 2021, finding it to be compliant with the statutory requirements.

The final orders of the Commission included the approval of the AIMPE Engineer Officers Stoker Greenfields Agreement 2021, which would now govern the employment terms for engineer officers and stoker positions within Teekay Shipping (Australia) Pty Ltd. The Commission's decision was based on its findings that the agreement provided fair and reasonable terms and conditions and was made in accordance with the procedural fairness requirements of the Fair Work Act.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established