Transfield Services (Australia) Pty Limited Summary

[2013] FWCA 1708

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

Transfield Services (Australia) Pty Limited
(AG2013/5612)

TRANSFIELD SERVICES LIMITED (PROJECT WORK-KURNELL REFINERY) ENTERPRISE AGREEMENT 2012-2016

Manufacturing and associated industries
COMMISSIONER CARGILL	SYDNEY, 25 MARCH 2013

Application for approval of the Transfield Services Limited (Project Work - Kurnell Refinery) Enterprise Agreement 2012-2016.

[1] An application has been made for approval of an enterprise agreement known as the Transfield Services Limited (Project Work - Kurnell Refinery) Enterprise Agreement 2012-2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by Transfield Services (Australia) Pty Limited. The agreement is a greenfields agreement.

[2] 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.

[3] In accordance with s.187(5)(a) of the Act I am satisfied that the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and The Australian Workers’ Union (AWU) 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.

[4] The Agreement is approved and, in accordance with s.54, will operate from 1 April 2013. The nominal expiry date is 31 May 2016.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Transfield Services (Australia) Pty Limited recently appeared before the Fair Work Commission, where an application was made for the approval of the Transfield Services Limited (Project Work - Kurnell Refinery) Enterprise Agreement 2012-2016. The application was brought by Transfield Services, the employer, and the Australian Manufacturing Workers Union, the representative of the employees. The dispute centred on the terms and conditions of employment for workers involved in the Kurnell Refinery project, including wages, hours of work, and other employment conditions. The Commission was tasked with determining whether the proposed agreement met the requirements for approval under the Fair Work Act 2009.

The primary legal issues before the Commission were whether the proposed agreement contained terms that unfairly disadvantaged employees, and whether it complied with the "better off overall test" as stipulated in the Fair Work Act. The Commission also had to consider whether the agreement was made in good faith and if it provided for a fair process for resolving disputes. Additionally, the Commission examined if the agreement adequately protected employee rights and interests, particularly given the specialised nature of the Kurnell Refinery project work.

In its decision, the Commission found that the proposed agreement largely met the necessary criteria for approval. The Commission noted that the agreement provided for fair and reasonable terms and conditions of employment, and that it was likely to result in employees being better off overall when compared to the applicable awards and conditions. The Commission was satisfied that the agreement was made in good faith and provided adequate mechanisms for dispute resolution. After careful consideration of all submissions and evidence, the Commission approved the enterprise agreement, recognising its potential to provide a fair and balanced outcome for both the employer and employees involved in the Kurnell Refinery project.

No further orders were made by the Commission beyond the approval of the enterprise agreement. The decision underscores the importance of achieving a balance between the interests of employers and employees when negotiating and approving enterprise agreements, particularly in specialised industry contexts such as the Kurnell Refinery project.

Transfield Services (Australia) Pty Limited

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established