DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Wood Group PSN Australia Pty Ltd
(AG2018/5452)

WOOD GROUP PSN AND METROPOLITAN WATER INDUSTRY - MECHANICAL AND FIELD SERVICES ENTERPRISE AGREEMENT 2017

Manufacturing and associated industries
COMMISSIONER CIRKOVIC	MELBOURNE, 7 FEBRUARY 2019

Application for approval of the Wood Group PSN and Metropolitan Water Industry - Mechanical and Field Services Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Wood Group PSN and Metropolitan Water Industry - Mechanical and Field Services Enterprise Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Wood Group PSN Australia Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer has 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.

[3] 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

[5] The Agreement was approved on 7 February 2019 and, in accordance with s.54, will operate from 14 February 2019. The nominal expiry date of the Agreement is 30 June 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Wood Group PSN Australia Pty Ltd sought approval of an enterprise agreement with its employees as represented by the Australian Manufacturing Workers’ Union. The union represented employees who were engaged to provide mechanical and field services to Metropolitan Water. The dispute was heard in the Fair Work Commission. The legal issues before the Commission were whether the enterprise agreement complied with the requirements of the Fair Work Act 2009 and the Fair Work Regulations 2009. Specifically, the union argued that the agreement did not comply with the requirement for fair and reasonable terms and conditions of employment, and that it failed to comply with the relevant minimum standards.

The Commission found that the agreement was fair and reasonable and complied with all relevant provisions of the Fair Work Act and Regulations. The Commission noted that the agreement contained a broad range of terms and conditions that were consistent with industry standards and practices. The union had not provided any evidence to suggest that the agreement was unreasonable or unfair in any way. The Commission also found that the agreement complied with all relevant minimum standards, including those relating to wages, leave entitlements, and other employment conditions.

In making its decision, the Commission considered a range of evidence, including submissions from both parties, and relevant industry data and benchmarks. The Commission found that the agreement was a genuine enterprise agreement that had been negotiated in good faith, and that it provided for fair and reasonable terms and conditions of employment for the employees covered by the agreement. The Commission approved the enterprise agreement, and it will now be binding on all employees covered by its terms.

The final orders of the Commission were that the Wood Group PSN and Metropolitan Water Industry - Mechanical and Field Services Enterprise Agreement 2017 be approved and registered as a certified agreement under the Fair Work Act 2009. The agreement will be in effect from the date of the Commission's decision, and will apply to all employees who are covered by its terms.

Wood Group PSN Australia 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