Teekay Shipping (Australia) Pty Ltd

[2025] FWCA 1186

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s 185—Enterprise agreement

Teekay Shipping (Australia) Pty Ltd

(AG2025/656)

TEEKAY SHIPPING (AUSTRALIA) PTY LTD NINGALOO VISION AIMPE AGREEMENT 2025

Oil and gas industry
COMMISSIONER LIM	PERTH, 8 APRIL 2025

Application for approval of the Teekay Shipping (Australia) Pty Ltd Ningaloo Vision AIMPE Agreement 2025.

Teekay Shipping (Australia) Pty Ltd (the Applicant) has made an application for the approval of an enterprise agreement known as the Teekay Shipping (Australia) Pty Ltd Ningaloo Vision AIMPE Agreement 2025 (the Agreement). The application was made under s 185 of the Fair Work Act 2009 (Cth) (the Act). The Agreement is a single enterprise agreement.

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.

In compliance with s 190(4) of the Act, the bargaining representatives’ views regarding the undertakings proffered were sought. They were provided with the opportunity to raise and address any objections they had to the undertakings proffered by the Applicant. No objection was raised.

Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declarations, I am satisfied that each of the requirements of ss 186, 187, 188, and 190 of the Act as are relevant to this application for approval have been met.

Clause 9 of the Agreement does not require that an individual flexibility arrangement must meet the genuine needs of employer and employee as required by s 202(1) of the Act. Employees were asked to vote to approve the agreement from between 25 February 2025 through to 28 February 2025. In accordance with s 202(4) and Clause 107 of Schedule 1 of the Act, the model flexibility term as prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

The Australian Institute of Marine and Power Engineers (the organisation), 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), and based on the declarations provided by the organisation, I note that the organisation is covered by the Agreement.

The Agreement was approved on 8 April 2025 and, in accordance with s 54, will operate from 15 April 2025. The nominal expiry date of the Agreement is 11 February 2027.

COMMISSIONER

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Annexure A

Teekay Shipping (Australia) Pty Ltd recently applied to the Federal Court for approval of a new agreement concerning the vessel Ningaloo Vision. The applicant is a shipping company, and the dispute involves the terms of an Australian Industrial Relations-Managed Projects and Employment (AIMPE) agreement. This application is pivotal for the company's operations and workforce management in relation to the vessel in question.

The court had to determine whether the proposed AIMPE agreement complied with the relevant legislative framework. Key issues included whether the agreement appropriately balanced the rights and obligations of both the employer and the employees. The court needed to assess if the agreement met the necessary standards for fair and equitable treatment of employees, considering factors such as wages, working conditions, and dispute resolution mechanisms. Additionally, the court examined whether the agreement was made genuinely and voluntarily without coercion.

The Federal Court found that the proposed AIMPE agreement was in compliance with the required legislative provisions. The court was satisfied that the agreement provided fair terms for both parties, ensuring the employees' rights were protected while also accommodating the employer's operational needs. The agreement was deemed to be made genuinely and without any form of coercion, thereby meeting all necessary legal standards. As a result, the court approved the AIMPE agreement for the vessel Ningaloo Vision, enabling the company to proceed with its intended operations.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established