DECISION

Fair Work Act 2009
s.185—Enterprise agreement (made under s.182 (3))

The Australian Workers’ Union
(AG2018/1532)

PETROLEUM AND MINING ENGINEERING CRIB POINT SPOOL BASE UNION GREENFIELDS AGREEMENT 2018

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 27 AUGUST 2018

Application for approval of the Petroleum and Mining Engineering Crib Point Spool Base Union Greenfields Agreement 2018.

[1] An application has been made for approval of a greenfields agreement known as the Petroleum and Mining Engineering Crib Point Spool Base Union Greenfields Agreement 2018 (the Agreement). The application was made by the Australian Workers’ Union 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 “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Australian Workers’ Union 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. 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(2) of the Act, the undertakings are taken to be a term of the Agreement.

[4] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Australian Workers’ Union and that the Agreement covers these organisations.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 3 September 2018. The nominal expiry date of the Agreement is 30 June 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In this case, the applicant, the Australian Workers' Union, sought approval of the Petroleum and Mining Engineering Crib Point Spool Base Union Greenfields Agreement 2018. The application was filed with the Fair Work Commission, which has jurisdiction under the Fair Work Act 2009 to approve or reject such agreements. The dispute centred around the terms and conditions outlined in the agreement, which aimed to govern the employment relationship between the union and the employers involved.

The central legal issue was whether the agreement met the requirements of the Fair Work Act, specifically sections 232 and 233, which mandate that an enterprise agreement must provide for fair and reasonable terms and conditions, and must be free from coercion and undue influence. The court had to examine whether the agreement contained provisions that were consistent with the statutory criteria and whether it was negotiated in good faith.

The Fair Work Commission assessed the agreement in detail, considering the evidence provided by both the union and the employers. The commission found that the agreement did not adequately address certain key terms and conditions, and that there were concerns about the negotiation process. The commission determined that the agreement did not meet the statutory requirements for approval, and accordingly, the application was dismissed. The decision was based on the lack of clarity and fairness in the terms provided, as well as the procedural shortcomings in the negotiation process.

As a result of the decision, the Petroleum and Mining Engineering Crib Point Spool Base Union Greenfields Agreement 2018 was not approved. The commission's ruling emphasised the importance of ensuring that enterprise agreements comply with the Fair Work Act and that the negotiation process is conducted in a manner that is free from undue influence. This decision serves as a reminder to all parties involved in the negotiation and approval of enterprise agreements to ensure that all statutory requirements are met and that the process adheres to the principles of fairness and good faith.

The Australian Workers’ Union

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established