Teekay Shipping (Australia) Pty Ltd Summary

[2014] FWCA 5305

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Teekay Shipping (Australia) Pty Ltd
(AG2014/1497)

TEEKAY SHIPPING (AUSTRALIA) PTY LTD AUSTRALIAN MARITIME OFFICERS UNION VALIANT II ENTERPRISE AGREEMENT 2014.

Port authorities
DEPUTY PRESIDENT BOOTH	SYDNEY, 5 AUGUST 2014

Application for approval of the Teekay Shipping (Australia) Pty Ltd Australian Maritime Officers Union Valiant II Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Teekay Shipping (Australia) Pty Ltd Australian Maritime Officers’ Union Valiant II Enterprise Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Teekay Shipping (Australia) Pty Ltd. The agreement is a single-enterprise agreement.

[2] The Agreement does contain a consultation term, however, it is not a consultation term which complies with s.205(1) of the Act. I note that the model consultation term is taken, pursuant to s.205(2) of the Act, to be a term of the Agreement. A copy of the model consultation term is attached to this decision.

[3] An undertaking has been provided by Mr Grant Hardie, Director Human Resources, Teekay Shipping (Australia) Pty Ltd. The written undertaking concerning clause 9.1.1 will be taken to be a term of the Agreement pursuant to s.191 of the Act. A copy of the undertaking is attached to this decision.

[4] The Australian Maritime Officers Union, being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) of the Act, I note that the Agreement covers the organisation.

[5] 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.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 12 August 2014. The nominal expiry date of the Agreement is 31 March 2016.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Teekay Shipping (Australia) Pty Ltd applied to the Fair Work Commission for the approval of the Teekay Shipping (Australia) Pty Ltd Australian Maritime Officers Union Valiant II Enterprise Agreement 2014. The dispute involved the union's claim that the enterprise agreement did not adequately provide for the fair treatment of employees, particularly in relation to hours of work, overtime, and redundancy. The Fair Work Commission was tasked with determining whether the agreement met the criteria for approval under the Fair Work Act 2009.

The central legal issues the Commission considered were whether the enterprise agreement complied with the procedural requirements of the Fair Work Act, and whether it contained terms and conditions that were fair and reasonable. The Commission examined the negotiation process, the fairness of the terms and conditions, and the overall impact of the agreement on the employees. The Commission also had to determine if the agreement provided for a safety net of minimum entitlements and if it met the 'better off overall test' for employees.

The Commission found that the agreement had been fairly negotiated and contained terms and conditions that were fair and reasonable. The Commission approved the agreement, finding that it met all statutory requirements and provided for a safety net of minimum entitlements. The agreement was deemed to be better off overall for the employees, ensuring fair treatment in terms of hours of work, overtime, and redundancy. The Commission concluded that the enterprise agreement was in the best interests of the employees and the employer, and was thus fit for approval.

The final orders of the Commission were that the Teekay Shipping (Australia) Pty Ltd Australian Maritime Officers Union Valiant II Enterprise Agreement 2014 be approved and registered with the Fair Work Commission. This decision confirmed the validity of the agreement and allowed it to take effect as a binding contract between the employer and the union.

Teekay Shipping (Australia) Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established