UGL Operations and Maintenance (Services) Pty Ltd Summary

[2024] FWCA 597

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

UGL Operations and Maintenance (Services) Pty Ltd

(AG2024/29)

UGL QCLNG ENTERPRISE AGREEMENT 2024

Electrical contracting industry
DEPUTY PRESIDENT GRAYSON	SYDNEY, 13 FEBRUARY 2024

Application for approval of the UGL QCLNG Enterprise Agreement 2024

Introduction

UGL Operations and Maintenance (Services) Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the UGL QCLNG Enterprise Agreement 2024 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Transitional arrangements under the Secure Jobs, Better Pay amendment

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023. By reason of the transitional arrangements for the Amending Act and the notification time for the Agreement of 31 May 2023, the genuine agreement requirements for agreement approval in Part 2-4 of the Fair Work Act, as it was just before 6 June 2023, apply to the present application. Further, as the Agreement was made on 24 December 2023 the better off overall test requirements in Part 2-4 of the Fair Work Act as amended on 6 June 2023 apply.

Section 190 Undertakings

The Employer 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. The undertakings are taken to be a term of the Agreement.

Section 186, 187, 188 and 190

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.

Section 183 Bargaining Representatives

The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), Australian Workers’ Union (AWU) and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them.

In accordance with s.201(2), I note that the Agreement covers the AMWU, the AWU and the CEPU.

Approval

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 20 February 2024. The nominal expiry date of the Agreement is 31 December 2026.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

The case involves an application by UGL Operations and Maintenance (Services) Pty Ltd for approval of the UGL QCLNG Enterprise Agreement 2024. The matter was heard in the Fair Work Commission, where the applicant sought to have the proposed agreement approved as a registered enterprise agreement under the Fair Work Act 2009. The application was brought to ensure that the terms and conditions of employment for the workers covered by the agreement were in line with the legislative framework governing industrial relations in Australia.

The primary legal issues before the court were whether the proposed enterprise agreement met the procedural and substantive requirements set out in the Fair Work Act. Procedurally, the court needed to determine if the agreement was made in accordance with the relevant provisions of the Act, including whether it was made without the influence of prohibited conduct. Substantively, the court had to assess whether the terms of the agreement were fair and reasonable in all aspects, including whether they provided for minimum entitlements and did not undermine the safety net of protections provided by the Act.

In delivering its decision, the Fair Work Commission examined the evidence and submissions provided by the parties. The Commission found that the agreement had been made in compliance with the procedural requirements of the Act, and that there was no evidence of any prohibited conduct influencing the bargaining process. Regarding the substantive fairness of the agreement, the Commission considered the various terms and conditions proposed, and concluded that they provided for minimum entitlements and were not detrimental to the safety net of protections. The Commission was satisfied that the agreement was fair and reasonable in all respects, and thus approved the UGL QCLNG Enterprise Agreement 2024 as a registered enterprise agreement.

UGL Operations and Maintenance (Services) Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established