WorkPac Pty Ltd Summary

[2022] FWCA 12

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

WorkPac Pty Ltd

(AG2021/8948)

WorkPac Pty Ltd - Submarines - South Australia Agreement 2021

Manufacturing and associated industries
COMMISSIONER PLATT	ADELAIDE, 5 JANUARY 2022

Application for approval of the WorkPac Pty Ltd – Submarines - South Australia - Agreement 2021

An application has been made for approval of an enterprise agreement known as the WorkPac Pty Ltd – Submarines - South Australia - Agreement 2021 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act) by WorkPac Pty Ltd (the Applicant). The agreement is a single enterprise agreement.

The matter was allocated to my Chambers on 4 January 2022 and was approved on the papers.

As the Agreement does not contain a flexibility term which meets the requirements of s.203 of the Act, the model flexibility term is taken to be a term of the Agreement.

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) of the Act I note that the Agreement covers this organisation.

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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days after the date of approval of the Agreement. The nominal expiry date is 24 November 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, WorkPac Pty Ltd sought approval for a workplace agreement, titled the WorkPac Pty Ltd – Submarines - South Australia - Agreement 2021. The applicant, a labour hire company, aimed to establish this agreement with its employees who were engaged in the construction of submarines in South Australia. The dispute centred on the scope, terms, and conditions of employment that the agreement proposed to set forth. The Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009 and was fair and reasonable.

The legal issues the Commission needed to resolve included whether the agreement was a genuine enterprise agreement, whether it complied with the Fair Work Act's requirements, and whether the agreement was fair and reasonable. Specifically, the Commission had to consider if the agreement provided for terms and conditions of employment that were no less favourable than the applicable modern awards and if it did not undermine the rights and protections afforded to employees under the Act. Additionally, the Commission examined whether the agreement was genuinely negotiated between the parties, as required by the legislation.

The Commission approved the WorkPac Pty Ltd – Submarines - South Australia - Agreement 2021, finding that it was a genuine enterprise agreement that met the statutory criteria. The Commission noted that the agreement had been negotiated in good faith and provided for terms and conditions of employment that were not less favourable than those provided by the applicable modern awards. Furthermore, the Commission concluded that the agreement was fair and reasonable, taking into account the specific circumstances of the employees and the nature of their work. The Commission found that the agreement did not undermine the rights and protections of employees, as it provided for appropriate safeguards and protections, including provisions for dispute resolution and the protection of employees' entitlements.

No specific orders were made by the Commission as the approval of the agreement was granted. The agreement, once approved, will operate as a registered agreement under the Fair Work Act, providing a framework for the terms and conditions of employment for the employees covered by the agreement.

WorkPac Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established