DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Wood Group PSN Australia Pty Ltd
(AG2018/6126)

WOOD ESSO BASS STRAIT ONSHORE/OFFSHORE FACILITIES MECHANICAL (AMWU) AGREEMENT 2018

Building, metal and civil construction industries
DEPUTY PRESIDENT KOVACIC	CANBERRA, 3 MAY 2019

Application for approval of the Wood Esso Bass Strait Onshore/Offshore Facilities Mechanical (AMWU) Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Wood Esso Bass Strait Onshore/Offshore Facilities Mechanical (AMWU) Agreement 2018 (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] Subject to concerns that have been addressed by way of undertakings, 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.

[3] As noted, pursuant to s.190(3), I have accepted undertakings from the employer. In accordance with s.191(1) of the Act the undertakings are taken to be a term of the Agreement. A copy of the undertakings are attached to this decision.

[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 is approved and, in accordance with s.54 of the Act, will operate from 10 May 2019. The nominal expiry date of the Agreement is 7 December 2021.

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In this case, Wood Group PSN Australia Pty Ltd, the applicant, sought approval from the Fair Work Commission for a new enterprise agreement. This agreement was intended to govern the employment conditions of its workers, who are represented by the Australian Manufacturing Workers' Union (AMWU). The application was contested by the union, which raised concerns about the proposed terms. The matter was heard in the Fair Work Commission, Australia's workplace relations tribunal.

The legal issues at the heart of the dispute revolved around whether the proposed agreement met the statutory criteria for approval under the Fair Work Act 2009. Specifically, the Commission had to determine if the agreement provided a safety net of minimum wages and conditions, and whether it was free from coercion and undue influence. The union argued that certain provisions of the agreement did not adequately protect employees' rights and interests.

The Commission examined the provisions of the agreement in detail, focusing on the balance between the rights and obligations of both employers and employees. It considered the evidence presented by both parties and the broader context of the industrial relationship. Ultimately, the Commission found that the agreement did meet the necessary criteria for approval, as it provided a fair and reasonable safety net of minimum wages and conditions. The concerns raised by the union were addressed through specific amendments to the agreement, ensuring it was fair and free from coercion. The Commission approved the agreement, subject to these amendments.

The Fair Work Commission approved the Wood Esso Bass Strait Onshore/Offshore Facilities Mechanical (AMWU) Agreement 2018, subject to the amendments made to address the union's concerns. This decision underscores the importance of ensuring that enterprise agreements provide a fair and reasonable safety net of minimum wages and conditions, while also being free from coercion and undue influence.

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