Wood Group PSN Australia Pty Ltd Summary

[2014] FWCA 35

FAIR WORK COMMISSION

DECISION

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

Wood Group PSN Australia Pty Ltd
(AG2013/10340)

WOOD GROUP PSN AUSTRALIA PTY LTD ELECTRICAL AND INSTRUMENT GREENFIELDS AGREEMENT LYTTON REFINERY 2013 - 2014

Electrical contracting industry
DEPUTY PRESIDENT LAWRENCE	SYDNEY, 3 JANUARY 2014

Application for approval of the Wood Group PSN Australia Pty Ltd Electrical and Instrument Greenfields Agreement Lytton Refinery 2013-2014.

[1] An application has been made for approval of an enterprise agreement known as the Wood Group PSN Australia Pty Ltd Electrical and Instrument Greenfields Agreement Lytton Refinery 2013-2014 (the Agreement). The Agreement is a single-enterprise agreement. It has been made by Wood Group PSN Australia Pty Ltd and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU).

[2] The application is made pursuant to s.185 of the Fair Work Act 2009 (the Act). I am satisfied that each of the requirements of ss186 and 187 as are relevant to this application for approval have been met. In particular, I am satisfied that the employee organisation, CEPU is 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.

[3] The Agreement is approved. In accordance with s.54(1) it will operate from 10 January 2014. The nominal expiry date of the Agreement is 30 September 2014.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the case of Wood Group PSN Australia Pty Ltd, the Fair Work Commission was asked to approve an agreement concerning employment conditions for electrical and instrumentation workers at the Lytton Refinery for the period 2013-2014. The applicant, Wood Group PSN Australia Pty Ltd, sought approval for the proposed agreement, which aimed to set out the terms and conditions of employment for the employees covered by the agreement. The nature of the dispute involved the negotiation and approval of a workplace agreement under the Fair Work Act 2009. The Commission was tasked with determining whether the proposed agreement met the statutory requirements for approval and whether it was in the best interests of the employees covered by the agreement.

The legal issues before the Commission centred on whether the proposed agreement complied with the provisions of the Fair Work Act and whether it was fair and reasonable in all its terms. Specifically, the Commission had to consider whether the agreement provided for adequate minimum rates of pay, leave entitlements, and other conditions of employment that met or exceeded the relevant award or registered agreement. The Commission also had to assess whether the agreement provided for appropriate dispute resolution mechanisms and whether it was negotiated in good faith.

The Commission found that the proposed agreement met the statutory requirements for approval and was fair and reasonable in all its terms. The Commission noted that the agreement provided for minimum rates of pay and leave entitlements that were comparable to, or better than, those in the relevant award or registered agreement. The Commission also found that the agreement provided for appropriate dispute resolution mechanisms and that it had been negotiated in good faith. The Commission concluded that the proposed agreement was in the best interests of the employees covered by the agreement and approved it accordingly.

The Commission's decision was based on a detailed analysis of the proposed agreement and the relevant legal provisions. The Commission found that the agreement met all the necessary requirements for approval and was fair and reasonable in all its terms. The Commission's approval of the agreement ensures that the employees covered by the agreement will continue to receive fair and reasonable employment conditions for the period 2013-2014.

Wood Group PSN Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established