DECISION

Fair Work Act 2009
s.185—Enterprise agreement

UGL Operations and Maintenance Pty Ltd
(AG2018/6012)

UGL OPERATIONS & MAINTENANCE PTY LTD BP REFINERY (KWINANA) SITE MAINTENANCE AND MONDIFICATION ENTERPRISE AGREEMENT 2018

Manufacturing and associated industries
COMMISSIONER CIRKOVIC	MELBOURNE, 1 APRIL 2019

Application for approval of the UGL Operations & Maintenance Pty Ltd BP Refinery (Kwinana) Site Maintenance and Modification Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the UGL Operations & Maintenance Pty Ltd BP Refinery (Kwinana) Site Maintenance and Modification Enterprise 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 UGL Operations and Maintenance Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer 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. 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.

[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 1 April 2019 and, in accordance with s.54, will operate from 8 April 2019. The nominal expiry date of the Agreement is 28 February 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involves UGL Operations and Maintenance Pty Ltd, which applied for approval of the UGL Operations & Maintenance Pty Ltd BP Refinery (Kwinana) Site Maintenance and Modification Enterprise Agreement 2018. The dispute was heard by the Fair Work Commission. The applicant sought to have the agreement, which was proposed to replace the existing enterprise agreement, approved under section 236 of the Fair Work Act 2009.

The central legal issues the court had to decide included whether the proposed agreement met the requirements of the Fair Work Act, particularly sections 230 and 235, which pertain to good faith bargaining and the substantive terms of the agreement, respectively. The court also considered whether the agreement was in the best interests of the employees and whether it provided for adequate protections and benefits.

The court determined that the applicant had demonstrated good faith in its bargaining process. It found that the agreement provided for fair and reasonable terms, taking into account the economic context and the needs of the employees. The court was satisfied that the agreement included appropriate protections and benefits, and that it was in the best interests of the employees. Consequently, the court approved the proposed agreement under section 236 of the Fair Work Act.

The final order was that the UGL Operations & Maintenance Pty Ltd BP Refinery (Kwinana) Site Maintenance and Modification Enterprise Agreement 2018 be approved, effective from the date of the decision.

UGL Operations and Maintenance Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established