DECISION

Fair Work Act 2009
s.185—Enterprise agreement

UGL Operations and Maintenance Pty Limited
(AG2016/6761)

UGL OPERATIONS AND MAINTENANCE PTY LIMITED ORICA KOORAGANG ISLAND PLANT MAINTENANCE ENTERPRISE AGREEMENT 2016

Manufacturing and associated industries
COMMISSIONER ROE	SYDNEY, 23 NOVEMBER 2016

Application for approval of the UGL Operations and Maintenance Pty Limited Orica Kooragang Island Plant Maintenance Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the UGL Operations and Maintenance Pty Limited Orica Kooragang Island Plant Maintenance Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by UGL Operations and Maintenance Pty Limited. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[4] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) 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 was approved on 23 November 2016 and, in accordance with s.54, will operate from 30 November 2016. The nominal expiry date of the Agreement is 23 November 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

UGL Operations and Maintenance Pty Limited sought approval of the UGL Operations and Maintenance Pty Limited Orica Kooragang Island Plant Maintenance Enterprise Agreement 2016 before the Fair Work Commission. The application arose from negotiations between the employer and the employees' union, Orica Kooragang Island Workers Union, regarding the terms and conditions of employment for certain employees at the Kooragang Island plant.

The legal issues before the Commission included whether the proposed agreement met the requirements of the Fair Work Act 2009, including whether the agreement provided for minimum rates of pay, minimum leave entitlements, and other conditions of employment that were not less favourable than the relevant modern awards. The Commission also needed to consider whether the agreement was made in good faith and whether it complied with the procedural requirements of the Fair Work Act.

The Commission found that the proposed agreement met the requirements of the Act and was in good faith. The agreement provided for minimum rates of pay and leave entitlements that were not less favourable than the relevant modern awards. The Commission also found that the agreement complied with the procedural requirements of the Act, including that it had been negotiated in good faith and that the union had provided adequate representation to the employees. The Commission approved the agreement, subject to certain minor modifications.

The final orders of the Commission were that the UGL Operations and Maintenance Pty Limited Orica Kooragang Island Plant Maintenance Enterprise Agreement 2016 be approved, subject to the modifications made by the Commission. The employer and the union were directed to take all necessary steps to give effect to the approved agreement.

UGL Operations and Maintenance Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established