Wood Australia Pty Ltd T/A Wood
[2024] FWCA 1710
•10 MAY 2024
| [2024] FWCA 1710 |
| FAIR WORK COMMISSION |
| DECISION |
Fair Work Act 2009
s 185—Application for approval of a greenfields agreement
Wood Australia Pty Ltd T/A Wood
(AG2024/1405)
WOOD OFFSHORE BROWNFILEDS SERVICES (WESTERN AUSTRALIA) GREENFILEDS AGREEMENT 2024 – 2028
| Oil and gas industry | |
| COMMISSIONER LIM | PERTH, 10 MAY 2024 |
Application for approval of the Wood Offshore Brownfields Services (Western Australia) Greenfields Agreement 2024 – 2028
An application has been made for approval of a greenfields agreement known as the Wood Offshore Brownfields Services (Western Australia) Greenfields Agreement 2024 – 2028 (Agreement). The application was made by Wood Australia Pty Ltd T/A Wood (Applicant) pursuant to s 185 of the Fair Work Act 2009 (Cth) (Act).
This is a greenfields agreement that meets the requirements of s 172(2)(b) of the Act.
In accordance with s.187(5) of the Act, I am satisfied that the Australian Workers Union (AWU) is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to the work that is to be performed under it, and that it is in the public interest to approve the Agreement.
I observe that clause 30.2 of the Agreement states that in circumstances where the Employee’s employment is terminated and there are outstanding monies owed by the Employee to the Company, including overpayments made to the Employee, the Company may withhold the outstanding amount from the final payment.
The effect of this clause is it appears to permit the Employer to withhold monies owing to the Employee under the National Employment Standards (NES) (such as accrued but unused annual leave or long service leave on termination or redundancy payments). This raises the issue that clause 6.6(e) may be inconsistent with s 61 of the Act.
However, noting clause 5.2 of the Agreement, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.
The Applicant has provided written undertakings. A copy of the undertakings is attached at Annexure A of this decision (Undertakings). The views of the bargaining representatives for the Agreement were sought in relation to the Undertakings and no objections were raised. I am satisfied that the effect of accepting the Undertakings is not likely to:
(a)cause financial detriment to any employee covered by the Agreement; or
(b)result in substantial changes to the Agreement.
Pursuant to s 190(3) of the Act, I accept the Undertakings.
Subject to the Undertakings, and on the basis of the materials before the Commission, I am satisfied that each of the requirements of ss 186, 187 and 190 of the Act as are relevant to the application for approval of the Agreement have been met.
Pursuant to s 53(2)(b) of the Act, I note that the Agreement was made with the AWU and that the Agreement covers the organisation.
The Agreement is approved and, in accordance with s 54 of the Act, will operate from 17 May 2024. The nominal expiry date of the Agreement is 17 May 2028.
COMMISSIONER
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ANNEXURE A
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