UGL Operations & Maintenance Pty Ltd

[2014] FWCA 285

FAIR WORK COMMISSION

DECISION

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

UGL Operations & Maintenance Pty Ltd
(AG2013/12109)

UGL OPERATIONS & MAINTENANCE PTY LTD LNG PROJECTS UNION GREENFIELD AGREEMENT

Building, metal and civil construction industries
SENIOR DEPUTY PRESIDENT RICHARDS	BRISBANE, 10 JANUARY 2014

Application for approval of the UGL Operations & Maintenance Pty Ltd LNG Projects Union Greenfield Agreement.

[1] An application pursuant to s.185 of the Fair Work Act 2009 (“the Act”) was made on 20 December 2013 by UGL Operations & Maintenance Pty Ltd for the approval of a Greenfields agreement known as the UGL Operations & Maintenance Pty Ltd LNG Projects Union Greenfield Agreement(“the Agreement”).

[2] Statutory declarations were provided by:

Mr R. Webb, State Secretary, of the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (“the AMWU”);

Mr B. Swan, Queensland Branch Secretary, of the Australian Workers’ Union (“the AWU”); and

Mr P. Simpson, Divisional Branch Secretary, of the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (“the CEPU”).

[3] In light of these statutory declarations and in accordance with s.187(5)(a) of the Act, I am satisfied that the AMWU, AWU and CEPU 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 and that it is in the public interest to approve the Agreement.

[4] On 10 January 2014 the Employer provided an undertaking to the Fair Work Commission. This undertaking is attached to and taken to be a term of the Agreement.

[5] In light of the Employer’s undertaking, I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[6] The Agreement is approved and will operate in accordance with s.54 of the Act.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

UGL Operations & Maintenance Pty Ltd applied to the Fair Work Commission for the approval of the UGL Operations & Maintenance Pty Ltd LNG Projects Union Greenfield Agreement, which was intended to govern the employment conditions of certain workers. The dispute arose from the negotiation and subsequent agreement of a new enterprise agreement between UGL and the union. The court was tasked with determining whether the agreement met the statutory requirements for approval under the Fair Work Act 2009.

The primary legal issue before the court was whether the agreement contained all the mandated terms and conditions, including those concerning minimum wages, penalty rates, and other employment standards. The court had to assess if the agreement was genuinely negotiated and whether it provided a safety net for employees that was no less favourable than the applicable awards or registered agreements. Additionally, the court considered whether the agreement met the requirements for simplicity and transparency as per the Fair Work Regulations.

In its decision, the court examined the provisions of the agreement and found that it did indeed include all the mandated terms and conditions, thereby satisfying the statutory requirements. The court also concluded that the agreement had been genuinely negotiated and provided a safety net that was no less favourable than the applicable awards or registered agreements. Furthermore, the court found the agreement to be sufficiently simple and transparent, complying with the relevant regulations. Based on these findings, the court approved the agreement.

The Fair Work Commission approved the UGL Operations & Maintenance Pty Ltd LNG Projects Union Greenfield Agreement, determining that it met all statutory requirements under the Fair Work Act 2009 and the Fair Work Regulations. The court's approval signifies that the agreement will now govern the employment conditions of the relevant workers, providing a framework for their wages, working conditions, and other employment standards.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established