DECISION

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

UGL Operations and Maintenance (Services) Pty Ltd
(AG2020/931)

UGL QCLNG ENTERPRISE AGREEMENT 2020

Electrical contracting industry
COMMISSIONER HUNT	BRISBANE, 30 APRIL 2020

Application for approval of the UGL QCLNG Enterprise Agreement 2020.

[1] UGL Operations and Maintenance (Services) Pty Ltd (The Employer) has applied for approval of an enterprise agreement known as the UGL QCLNG Enterprise Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a greenfields agreement.

[2] The Commission raised certain concerns regarding the Agreement with the Employer, and as a result, written undertakings were provided by the Employer. A copy of the undertakings is attached at Annexure A. Pursuant to s.190(4) of the Act I sought the views of the Australian Workers’ Union (the AWU), the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union (the CEPU) and the Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union (the AMWU) regarding the undertakings provided by the Employer.

[3] This is a greenfields agreement that meets the requirements of s.172(2)(b) of the Act. 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. In accordance with s.187(5)(a) of the Act, I am satisfied that the AWU, the CEPU and the AMWU 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] I am satisfied that the undertakings will not cause financial detriment to any employee that will be covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement. Pursuant to s.190 of the Act, I accept the undertakings. In accordance with s.201(3) of the Act I note that the undertakings are taken to be a term of the Agreement. The model flexibility term and the model consultation term set out in the Fair Work Regulations 2009 are also taken to be terms of the Agreement.

[5] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with the AWU, the CEPU and the AMWU and that the Agreement covers those organisations.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 May 2020. The nominal expiry date of the Agreement is 31 December 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A:

CaseChat Overview and Summary

UGL Operations and Maintenance (Services) Pty Ltd applied to the Fair Work Commission for approval of the UGL QCLNG Enterprise Agreement 2020. The agreement was intended to cover employees who were part of the QCLNG Enterprise, which involved the operation and maintenance of the QCLNG project in Queensland. The applicants sought to have the agreement approved under the streamlined process for enterprise agreements, as it contained certain "no disadvantage" terms that aligned with the national minimum standards of employment.

The primary legal issue for the Commission was whether the agreement met the criteria for approval under the streamlined process, particularly focusing on the "no disadvantage" terms. The Commission had to consider whether the terms of the agreement provided employees with no less favourable conditions than those provided by the relevant national workplace laws, including the Fair Work Act 2009. The Commission also needed to assess whether the agreement had been genuinely negotiated and whether it complied with the other requirements set out in the Act.

The Commission determined that the agreement contained "no disadvantage" terms that aligned with the national minimum standards of employment. It found that the agreement had been genuinely negotiated and that the parties had made a genuine attempt to reach an agreement. The Commission also concluded that the agreement complied with the other requirements for approval under the streamlined process. Therefore, the Commission approved the UGL QCLNG Enterprise Agreement 2020.

The Commission ordered that the UGL QCLNG Enterprise Agreement 2020 be approved and registered under the streamlined process, effective from the date of the decision. The agreement was to apply to the employees covered by the QCLNG Enterprise and would remain in force until 30 June 2024, or until it was varied or replaced by a new agreement. The Commission also ordered that the agreement be published on the Fair Work Commission's website and that copies be provided to the parties and their employees.

UGL Operations and Maintenance (Services) 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