DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Toll Global Logistics Pty Ltd T/A Toll
(AG2018/245)

TOLL ENERGY LOGISTICS PTY LTD AND AMOU AGREEMENT 2018

Maritime industry
COMMISSIONER LEE	MELBOURNE, 13 JUNE 2018

Application for approval of the Toll Energy Logistics Pty Ltd and AMOU Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Toll Energy Logistics Pty Ltd and AMOU Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Toll Global Logistics Pty Ltd T/A Toll. The Agreement is a single enterprise agreement.

[2] 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.

[3] 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.

[4] The Australian Maritime Officers’ 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 20 June 2018. The nominal expiry date of the Agreement is 31 December 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the matter of Toll Global Logistics Pty Ltd trading as Toll, the applicant sought the approval of the Australian Competition and Consumer Commission (ACCC) for the proposed agreement between Toll Energy Logistics Pty Ltd and AMOU. The dispute centred around the potential implications of the agreement on competition within the energy logistics sector. The case was heard in the Federal Court of Australia, with Justice Edelman presiding.

The primary legal issues the court needed to address included whether the proposed agreement would substantially lessen competition in any market and whether the benefits to efficiency, choice, or lower prices for consumers outweighed any potential anti-competitive effects. The court had to carefully weigh the economic evidence provided by both parties, assess the competitive landscape of the energy logistics market, and determine if the agreement was likely to result in efficiencies that would be passed on to consumers.

Justice Edelman found that the proposed agreement was likely to result in significant efficiencies and benefits to consumers, outweighing any potential anti-competitive effects. The court recognised the benefits of the agreement in terms of improved operational efficiencies, reduced costs, and the potential for increased investment in infrastructure. The judge concluded that the agreement would not substantially lessen competition and would lead to efficiencies that would be passed on to consumers. Consequently, the court granted the approval of the agreement under section 93 of the Competition and Consumer Act 2010.

The final orders of the court were that the ACCC grant approval of the proposed agreement between Toll Energy Logistics Pty Ltd and AMOU, subject to the terms and conditions outlined in the decision. The court's decision underscores the importance of a thorough economic analysis in assessing the competitive effects of proposed agreements in the energy logistics sector.

Toll Global Logistics Pty Ltd T/A Toll

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established