Circumstances leading to this proceeding
29 Once the nominal expiry date of the enterprise agreements binding the applicant passed (see FW Act, s 417), the respondent and its members were in a position, subject to compliance with the procedures mandated by the FW Act, to take protected industrial action in support of their claims in their bargaining with the applicant (see FW Act, s 409(1)). One of the procedures referred to was the requirement to give the applicant written notice of the industrial action proposed (see FW Act, ss 413(4) and 414). Such a notice was required to "specify the nature of the action and the day on which it will start" (see FW Act, s 414(6)). Industrial action which had not been specified in such a notice would not be protected industrial action within the meaning of the FW Act. The allegation that industrial action organised by the respondent, and taken by its members, in March 2015 was not protected industrial action lies at the centre of the applicant's case in this proceeding.
30 Over the period which is relevant in this proceeding, the respondent gave the applicant eight notices of intention to take protected industrial action. Save that they were given on 16, 22 and 30 January 2015, nothing further needs to be said about the first three notices.
31 On 3 February 2015, the respondent gave its fourth notice of intention to take protected industrial action. The notice was in the form of a letter over the hand of Ben Davis, Victorian Branch Secretary of the respondent. Although lengthy, for reasons which will appear, the full terms of this letter are presently material. Omitting formal parts, those terms were as follows:
The Australian Workers' Union ("AWU"), as bargaining representative for employees of Esso Australia Pty Ltd who are currently covered by the below named enterprise agreements, and who will be covered by a proposed enterprise agreement or agreements to succeed those agreements, hereby gives notice of the intention of the aforesaid employees to take the following employee claim action.
The relevant enterprise agreements are (defined herein as 'the Agreements'):
a) Esso Offshore Enterprise Agreement 2011
b) Esso Gippsland (Barry Beach Marine Terminal) Enterprise Agreement 2011
c) Esso Gippsland (Longford and Long Island Point) Enterprise Agreement 2011
Employee claim action:
a) An indefinite ban on the issuing of electronic permits by employees covered by the Agreements between the hours of 6.00 a.m. and 10.00 a.m. commencing on Thursday, 12 February 2015. This ban does not apply to the issuing of paper permits.
b) An indefinite ban on the use of email as a site communication device by employees covered by the Agreements commencing at 12.01 a.m. on Thursday, 12 February 2015.
c) An indefinite ban on the performance of higher duties by employees covered by the Agreements commencing at 12.01 a.m. on Thursday, 12 February 2015.
d) An indefinite ban on the performance of project work by employees covered by the Agreements commencing at 12.01 a.m. on Thursday, 12 February 2015.
e) An indefinite ban on the de-isolation of equipment by employees covered by the Agreements commencing at 12.01 a.m. on Thursday, 12 February 2015.
f) A stoppage of the performance of all work by Longford employees covered by the Esso Gippsland (Longford and Long Island Point) Enterprise Agreement 2011 for a duration of 1 hour commencing at 1.30 p.m. on Thursday, 12 February 2015 and occurring at that time on each subsequent day until notified otherwise.
g) A stoppage of the performance of all work by Long Island Point employees covered by the Esso Gippsland (Longford and Long Island Point) Enterprise Agreement 2011 for a duration of 1 hour commencing at 1.30 p.m. on Thursday, 12 February 2015 and occurring at that time on each subsequent day until notified otherwise.
h) A stoppage of the performance of all work by employees covered by the Esso Gippsland (Barry Beach Marine Terminal) Enterprise Agreement 2011 for a duration of 1 hour commencing at 4.00 p.m. on Thursday, 12 February 2015 and occurring at that time on each subsequent day until notified otherwise.
i) A stoppage of the performance of all work by employees classified as offshore operations technician employees covered by the Esso Offshore Enterprise Agreement 2011 for a duration of 1 hour commencing at 10.00 a.m. on Thursday, 12 February 2015 and occurring at that time on each subsequent day until notified otherwise.
j) A stoppage of the performance of all work by employees classified as platform services employees covered by the Esso Offshore Enterprise Agreement 2011 for a duration of 1 hour commencing at 12.30 p.m. on Thursday, 12 February 2015 and occurring at that time on each subsequent day until notified otherwise.
k) A stoppage of the performance of all work by employees classified as maintenance employees covered by the Esso Offshore Enterprise Agreement 2011 for a duration of 1 hour commencing at 12.30 p.m. on Thursday, 12 February 2015 and occurring at that time on each subsequent day until notified otherwise.
The AWU refers to the undertaking in relation to health and safety provided in proceedings before Commissioner Cribb in the Fair Work Commission and affirms that commitment in relation to the aforesaid employee claim action.
ln relation to the aforesaid actions the following commitments are provided:
a) During all employee claim action employees will maintain their assigned emergency response roles and assume them immediately should an emergency arise
b) During the employee claim action all employees who are assigned a radio will keep the radios on their person and switched on and will monitor and respond to health and safety situations and environmental situations (marine environment)
c) During the employee claim action employees whose duties include the monitoring of control panels will monitor control panels and process, acknowledge, assess and respond to alarms that are deemed to impact on health, safety and environment. All employees will take all action required under their roles and responsibilities to respond to those alarms.
d) If in doubt, normal processes will prevail to determine if a health, safety or environment situation exists.
e) Any refusal or failure to perform any action required under these exclusions is not authorised by or done pursuant to this notice.
Of the bans referred to in this letter, the "ban on the de-isolation of equipment" has been of particular importance in this proceeding.
32 Members of the respondent took industrial action on 10 February 2015. The applicant applied for an order under s 418 of the FW Act, subss (1) and (3) of which provide as follows:
(1) If it appears to the FWC that industrial action by one or more employees or employers that is not, or would not be, protected industrial action:
(a) is happening; or
(b) is threatened, impending or probable; or
(c) is being organised;
the FWC must make an order that the industrial action stop, not occur or not be organised (as the case may be) for a period (the stop period) specified in the order.
…
(3) In making the order, the FWC does not have to specify the particular industrial action.
33 The applicant's application of 10 February 2015 was settled in the course of a conciliation conference in the Commission.
34 12 February 2015 was the first day of a maintenance shutdown which had been planned by the applicant over the course of about the previous 18 months. Two major items of plant which were shut down were the Crude Oil Stabilisation Plant and Gas Plant 1, both situated at Longford. It was intended that they would be out of service between 12 and 24 February 2015. However, the course of the maintenance and other work to be undertaken in the shutdown was substantially slowed by the industrial action which had been notified to commence, and which did commence, on 12 February 2015.
35 At Longford, the industrial actions, organised by the respondent, which were taken on and from 12 February 2015 were the five bans referred to in items (a)-(e) of the respondent's letter of 3 February 2015 and the stoppages referred to in item (f). The bans referred to in items (b)-(e) remained in place until an order made by the court on 17 March 2015 (see para 65 below). The ban referred to in item (a) remained in place until withdrawn on 13 March 2015. The stoppages referred to in item (f) continued until 12 March 2015.
36 On 16 February 2015, the applicant applied to the Commission for an order under s 418 of the FW Act, its grounds being as follows:
4.19 On 15 February 2015, Esso identified that it required overtime to cover shifts for Monday 16 February and Tuesday 17 February 2015.
4.20 The designated shift operator contacted 32 employees to cover these vacancies. Again, all operators that were called refused to perform the overtime.
4.21 Overtime will be required on Tuesday 17 February 2015 and on a daily basis thereafter.
Requirements for the issuing of an order
4.22 The refusal to perform overtime is industrial action, as it is a "ban, limitation or restriction ... on the acceptance of or offering for work by an employee" (s. 19(1)(b); Australian Workers Union v Bluescope Steel Ltd (2008) 171 IR 115, [8]).
4.23 The action is of an industrial character, being taken in response to Esso notifying employees of the deduction of pay (Australian Workers Union v Bluescope Steel Ltd (2008) 171 IR 115, [9]-[11]).
4.24 It is unprotected industrial action, not being subject of a notice (s. 418(1)).
4.25 It is happening, and being organised. It is being [sic] continues to be threatened, and is impending or probable (s. 418(1)(a) to (c)).
4.26 As the requirements of s. 418(1) are met, the Commission is under a mandatory obligation to make an order that the industrial action stop, not occur and not be organised.
37 On 17 February 2015, Deputy President Hamilton heard the applicant's s 418 application, and received evidence in that regard. After a short break, he announced his decision, and gave his reasons. He first rejected a submission of the respondent that the bans on overtime were protected industrial action because the maintenance shutdown involved "project work", which was covered by item (d) in the respondent's notice of 3 February 2015. He then considered whether it had been established on the evidence that there was a ban on the working of overtime. Apparently the respondent asked the Deputy President to accept that the fact that a number of employees who had been contacted about working overtime and had declined to make themselves available did not justify the conclusion that there was such a ban. Dealing with this aspect, Hamilton DP said:
Taken together, it beggars belief that in these circumstances employees, simply coincidentally refused to work overtime, rather than engaging in collective action. All the evidence direct and circumstantial points to this being organised collective action by the AWU, delegates and members. In my view, industrial action has occurred and has been organised. In my view, industrial action is happening within section 418(1) of the Act. I am therefore required to issue an order and will do so.
The Deputy President granted the applicant's application for a s 418 order.
38 The Commission's order was in the following terms:
1. TITLE
This order shall be known as the Esso Australia Pty Ltd Industrial Action Order 2015 No 1 (the Order).
2. APPLICATION and PARTIES BOUND
The parties bound by this order are:
2.1 This Order is binding on and applies to:
(a) the Australian Workers Union (the AWU);
(b) the delegates, officers, employees, servants, and agents of the AWU;
(c) employees of Esso Australia Pty Ltd (Esso) who are members of the AWU (collectively, the Employees); and
(d) Esso
3. DEFINITIONS
3.1 For the purposes of this Order, 'Industrial Action' has the meaning prescribed by section 19 of the Fair Work Act 2009 (Act) and includes:
(a) the performance of work in a manner different from that in which it is customarily performed, or the adoption of a practice in relation to work the result of which is a restriction or limitation on, or a delay in, the performance of the work;
(b) a ban, limitation or restriction on the performance of work, or on acceptance of or offering for work;
(c) a failure or refusal by employees to attend for work or a failure or refusal to perform any work at all by employees who attend for work; and
(d) in particular, a ban on the performance of overtime contrary to the Esso Gippsland (Longford and Long Island Point) Enterprise Agreement 2011 and contrary to custom and practice regarding availability for and the performance of overtime;
but excludes:
(e) protected action within the meaning of the Act;
(f) action by an employee that is authorised or agreed to by Esso; and
(g) action by an employee if such action was based upon the employee's reasonable concern about an imminent risk to the employee's health or safety, and the employee did not unreasonably fail to comply with the directions of the employee's employer to perform other available work, whether at the same or another workplace, that was safe and appropriate for the employee to perform.
4. INDUSTRIAL ACTION MUST STOP, NOT OCCUR AND NOT BE ORGANISED
4.1 On and from the time specified in clause 6.1 of this Order:
(a) the AWU;
(b) delegates, officers, employees, and agents of the AWU;
(c) the Employees;
Must not organise any industrial action.
Employees must not engage in industrial action.
5. SERVICE OF ORDER
5.1 The AWU must:
(a) as soon as practicable following the time specified in clause 6.1 of this Order, prepare a written notice (the Written Notice) signed by an authorised official of the AWU in the following terms:
"The Fair Work Commission has issued a section 418 order to stop or prevent industrial action.
The order is called the Esso Australia Pty Ltd Industrial Action Order 2015 No 1 (the "Order").
The Order prohibits the AWU, and its members from organising and engaging in unprotected industrial action.
The Order applies to:
(i) the AWU;
(ii) delegates, officers, employees, and agents of the AWU; and
(iii) employees of Esso Australia Pty Ltd who are members of the AWU.
All AWU members, delegates, officers, employees, agents of the AWU must not take any unprotected industrial action for the duration of the order - and in particular, must not take or institute any ban on the performance of overtime which is contrary to the Esso Gippsland (Longford and Long Island Point) Enterprise Agreement 2011 and contrary to custom and practice regarding availability for and the performance of overtime."
(b) by 5:00 pm on 18 February 2015 the AWU must:
(i) distribute the Written Notice to all members by email and by SMS message "Esso members are prohibited from taking unprotected industrial action. Please see link:" with a link to the Written Notice;
(ii) provide a copy of the Written Notice to Esso;
(iii) publish the Written Notice on a prominent place on the AWU website www.awu.net.au;
5.2 As soon as practicable following the time specified in clause 6.1 of this Order, Esso must:
(a) email all Employees, which must:
(a) attach a copy of this order; and
(b) contain the text of the Written Notice outlined in 6.1(a) but adapted to clarify that the Written Notice is communicated by Esso to the Employees.
(b) place a copy of this order on the notice board(s) usually used by Esso for the purposes of communicating with the Employees.
6. TERM AND DATE OF EFFECT
6.1 This order shall come into effect from 1.00 am on 18 February 2015.
6.2 The stop period for the purposes of section 418(1) of the Act is specified as being the period from the commencement of this order until 5.00pm on 17 March 2015.
39 The respondent discontinued its ban on overtime in compliance with cl 4.1 of the above order, but its members continued taking other forms of industrial action as notified on 3 February 2015.
40 On the same day as the Commission made its order, 17 February 2015, the respondent gave a fifth notice of intention to take protected industrial action, namely, an "indefinite ban on the performance of overtime by Longford employees commencing at 12.01 a.m., Thursday, 26 February 2015". That ban was implemented on 26 February 2015 as notified, and remained in place until 17 March 2015.
41 The respondent gave its sixth protected industrial action notice on 26 February 2015, but nothing appears to turn on it in the determination of the controversial questions in the present proceeding.
42 On 2 March 2015, the respondent gave its seventh protected industrial action notice. By this notice, and effective on and from 12 March 2015, the stoppage referred to in item (f) in the respondent's letter of 3 February 2015 was replaced by a like stoppage of Longford employees, but commencing at 7.30 am each day. Those stoppages continued until 17 March 2015.
43 On 3 March 2015, the applicant made a further application for an order under s 418 of the FW Act in relation to industrial action being taken by the respondent's members. The argument was that implementation of the de-isolation bans in relation to some equipment that was imposed by the respondent were posing a risk to health and safety and were, therefore, within the exclusions from protected industrial action stated in the various notices, of which that set out in para 31 above is an example.
44 In the meantime, in response to the respondent's ban on the "de-isolation of equipment", the applicant had instructed its supervisors to perform de-isolations. It seems that there were at least two, and possibly more, de-isolations performed by supervisors in the period which followed the respondent's notice of 3 February 2015. Ross Dunbar, the Operations Superintendent - Gas Asset of the applicant (whose normal responsibilities lie in the area of the applicant's offshore facilities but who was temporarily working at Longford in the co-ordination of de-isolation activities at this time) said in his affidavit that the first de-isolation by a supervisor was done on 19 February 2015. Robert Steed, an operations technician and a delegate of the respondent, said in his affidavit that de-isolations were done by supervisors on 26 February and 3 March 2015. It is sufficient to find that, by the latter date at the latest, it would have been apparent to the respondent and its members at Longford that the applicant had developed a modus operandi by which equipment de-isolations, banned by the respondent since 12 February 2015, could be done by supervisors.
45 Over the period 28 February to 2 March 2015, preparations began for the de-isolation of the Gas Plant 1 rich oil fractionator tower. The scoping of these works included operations supervisors reviewing the ICC and drawings, and walking the process lines in the field. On 3 March 2015, as part of these preparations, supervisors were involved in de-isolating the rich oil fractionator tower level bridle, which was required to allow the tower de-isolation to commence the following day.
46 At about 4:45 pm on 4 March 2015, Messrs Dunbar and Mackie met with Messrs Steed and Jackson. Mr Steed told Messrs Dunbar and Mackie that it was the respondent's position that the de-isolation ban included air freeing and leak testing, and that all members of the respondent were aligned to that position. After a 30 minute break in this meeting, Mr Steed reiterated that this was the respondent's position, and that its members would refuse to perform air freeing or leak testing if required to do so. James Kristeff, the Maintenance Superintendent at Longford telephoned Mr Davis, who confirmed what Mr Steed had said.
47 On 5 March 2015, the Commission dealt with the applicant's application of 3 March 2015. At the conclusion of the hearing, Deputy President Hamilton said that he was satisfied that the implementation of particular de-isolation bans fell within the health and safety exemption in the respondent's s 414 notice, and was, to that extent, unprotected. Noting the terms of s 418(3), he said that the order he proposed to make would refer to "industrial action generally".
48 The Commission's s 418 order of 5 March 2015 was in the following relevant terms:
1. TITLE
This order shall be known as the Esso Australia Pty Ltd Industrial Order 2015 No 2 (the Order).
2. APPLICATION and PARTIES BOUND
The Order is binding on and applies to:
2.1 the Australian Workers' Union (the AWU);
2.2 the delegates, officers, employees, servants, and agents of the AWU;
…
2.5 employees of Esso Australia Pty Ltd who are:
(a) members of the AWU and who are covered by the Esso Offshore Enterprise Agreement 2011;
…
(collectively, the Employees); and
2.6 Esso Australia Pty Ltd (Esso).
3. DEFINITIONS
For the purposes of this Order, 'Industrial Action' has the meaning prescribed by section 19 of the Fair Work Act 2009 (Act) and includes:
3.1 the performance of work in a manner different from that in which it is customarily performed, or the adoption of a practice in relation to work the result of which is a restriction or limitation on, or a delay in, the performance of the work;
3.2 a ban, limitation or restriction on the performance of work, or on acceptance of or offering for work;
3.3 a failure or refusal by employees to attend for work or a failure or refusal to perform any work at all by employees who attend for work;
but excludes:
3.4 protected industrial action within the meaning of the Act;
3.5 action by an employee that is authorised or agreed to by Esso; and
3.6 action by an employee if such action was based upon the employee's reasonable concern about an imminent risk to the employee's health or safety, and the employee did not unreasonably fail to comply with the directions of the employee's employer to perform other available work, whether at the same or another workplace, that was safe and appropriate for the employee to perform.
4. INDUSTRIAL ACTION MUST STOP AND NOT BE ORGANISED
4.1 On and from the time specified in clause 6.1 of this Order:
(a) the AWU;
(b) delegates, officers, employees, and agents of the AWU;
…
(e) the Employees;
Must not organise any industrial action.
4.2 On and from the time specified in clause 6.1 of this Order, Employees must not engage in industrial action.
5. SERVICE OF ORDER
5.1 [T]he AWU must:
(a) as soon as practicable following the time specified in clause 6.1 of this Order, prepare a written notice (the Written Notice) signed by an authorised official of the AWU in the following terms:
"The Fair Work Commission has issued a section 418 order to stop or prevent unprotected industrial action. The unprotected industrial action identified by the Fair Work Commission was the refusal of employees to perform de-isolation work required to restore fuel gas supply to 11 offshore platforms.
The order is called the Esso Australia Pty Ltd Industrial Action Order 2015 No 2 (the "Order").
The Order prohibits the AWU, … and members from [sic] the AWU … from organising and engaging in unprotected industrial action.
The Order applies to:
(i) the AWU;
(ii) delegates, officers, employees, and agents of the AWU;
…
(v) employees of Esso Australia Pty Ltd who are members of the AWU … and who are covered by the Esso Offshore Enterprise Agreement 2011.
All AWU members, delegates, officers, employees, agents of the AWU must not take any unprotected industrial action for the duration of the order."
(b) by 5:00 pm on 5 March 2015, the AWU must:
(i) distribute the Written Notice to all Employees who are members of the AWU by email and by SMS message "Esso members are prohibited from taking unprotected industrial action. Please see link:" with a link to the Written Notice;
(ii) provide a copy of the Written Notice to Esso;
(iii) publish the Written Notice on a prominent place on the AWU website www.awu.net.au.
…
5.3 As soon as practicable following the time specified in clause 6.1 of this Order, Esso must:
(a) email all Employees, which must:
(i) attach a copy of this order; and
(ii) contain the text of the Written Notice outlined in 5.1(a) and 5.2(a) but adapted to clarify that the Written Notice is communicated by Esso to the Employees.
(b) place a copy of this order on the notice board(s) usually used by Esso for the purposes of communicating with the Employees.
6. TERM AND DATE OF EFFECT
6.1 This order shall come into effect on Thursday 5 March at 5.00 pm.
6.2 The stop period for the purposes of section 418(1) of the Act is specified as being the period from the commencement of this Order until 5.00 pm on Thursday 19 March 2015 (two weeks).
49 On the same day, 5 March 2015, the applicant made a further application for an order under s 418 of the FW Act. The applicant's grounds in this application (save for matters of background, context and jurisdiction) were as follows:
4.4 Following the issuance of the Notice, the Employees engaged in a ban on the performance of de-isolation of equipment at the Longford Plant.
4.5 Esso responded by arranging for its managerial and supervisory employees to carry out that task.
4.6 Since 2 March 2015, the Employees have expanded their ban to testing procedures associated with the recommissioning of plant and equipment. In particular, the Employees have refused to perform equipment testing, air freeing, and leak testing (the Action).
4.7 In recent days, Esso managers have pointed out to the AWU that the Action is not protected industrial action because it is not covered by the Notice. The AWU, through the local delegate Rob Steed and the Victorian Branch Secretary Ben Davis, confirmed that: (i) the Action was in place; and (ii) the Action would continue because the AWU regarded the Action as part of the notified ban on de-isolation of equipment.
50 As is apparent from these grounds, on this occasion the applicant raised its contention that equipment testing, air freeing and leak testing did not fall within the meaning of "the de-isolation of equipment" in the respondent's notice of 3 February 2015, and that the bans on such operations were not, therefore, protected. When the applicant's application came before the Commission on 6 March 2015, the respondent contended otherwise. After hearing the evidence and the submissions of the parties, the Commission gave its decision. Deputy President Hamilton referred to para 4.6 of the applicant's grounds, and accepted that bans as there alleged were being imposed. He accepted evidence led by the applicant that, "on 2 March 2015, operators began to advise their supervisors that they would not perform air freeing or leak testing required to be performed for de-isolations". The question, therefore, was whether these bans were protected industrial action, and the Commission determined that they were not.
51 The Deputy President's reasons for that determination are not binding on the court, but they were placed into evidence without objection. Those reasons were as follows:
In this case, a notice of protected industrial action was served on Esso Australia by the Australian Workers Union on 3 February 2015. This notice is contained in exhibit E1 at paragraph (e), where Esso is notified of:
an indefinite ban on the de-isolation of equipment by employees covered by the agreements, commencing at 12.01 am on Thursday, 12 February 2015.
In this present matter, the AWU considers that the bans in (e) referred to on air-testing, equipment testing, air-freeing and leak testing as included within that paragraph. Esso disagrees.
Now, in interpreting paragraph (e), my attention was drawn to the Telstra Corporation v CEPU [2009] 190 IR 342 and in particular at paragraph 12. This is a decision of the Full Bench of the Commission. The sense of the submission put by Esso was that the purpose of the notice is to give them notice of the industrial action and its occurrence. Now, in this case the parties take a different view as to the meaning of the term.
Various phrases were used by the AWU to describe their understanding, including "custom and practice" and "the ordinary usage in the workplace." A number of phrases were used. The employer on the other hand relies on the definitions used in safety manuals produced by them in accordance with their extremely important obligations to provide a safe workplace. These obligations are in any sense critical. Their ability to function depends on implementation of proper safety procedures.
Extracts of those procedures were contained in the attachment to Mr Kristeff's statement in exhibit JKI, JK2 and JK3. At JK3, a number of definitions are recorded, including definitions of air-freeing, blinding, de-isolations and equipment testing. The evidence of Mr Kristeff was that these are critical documents that employees are trained … [with] at induction and elsewhere, and required to comply with them.
Some challenge was made to this by witnesses appearing for the AWU. Mr Johnson and Mr Steed did refer to instances of alleged use of terms such as de-isolation in a manner which is inconsistent with those definitions. However, the evidence of Mr Johnson and Mr Steed was on occasion somewhat inconsistent. Both accepted they had to comply with a manual and accepted that it was of some importance that they comply with the manual, including with the definitions.
Their description of the alleged custom and practice or ordinary usage of the term "de-isolation" was, at best, somewhat vague. It may be that on occasion terms are used in the workplace of a shorthand nature, which is quite understandable. That is, however, no substitute for critical documents on which the ability of Esso to operate its plants depends and on which safety of employees and the workplace as a whole depends.
In my view, the attachments referred to are appropriate definitions of terms and should be followed by me in this case. One difficulty with me not following them is the lack of a clear alternative set of definitions which is supported by the evidence. My attention was taken to other parts of the document, including 4-36, 4.5, Isolating Systems and Equipment. Again, this seems to be something different to de-isolation, a specific term.
Similarly, my attention was drawn to 4.6, Reinstating facility systems and equipment at 4.8(4). Again, this appears to be a different function. I note in particular under the heading Recommissioning, that a distinction is drawn between equipment testing, air-freeing, leak testing and de-isolating. They are not treated in that document as synonyms. The reverse is the case; they are separate concepts.
I also note the evidence of Mr Trindade in exhibit E3. Esso relied on the definitions of de-isolation given by a Mr Patterson, a production technician on the Bream A Offshore platform and an AWU health and safety representative, and a Mr Corless. That evidence is consistent with the submissions put by Esso.
A number of other challenges were made to Mr Kristeff's evidence, including that he was not an operator and did not supervise operators. However, these documents also on his evidence apply to maintenance and it is clear he speaks with some authority on the issue of the importance of those documents. Indeed, his evidence to that effect was largely confirmed by the evidence of Mr Johnson and Mr Steed.
I accept the evidence of Mr Kristeff in preference to other evidence and I find that the term "de-isolation" used in exhibit El at paragraph (e) has the meaning set out in the Esso safety documents, if I could call them that in a generic sense.
That means that the action taken, the bans instituted by the AWU and its members, are not protected industrial action as they have not been the subject of a notice to take protective industrial action. Therefore the requirement of section 418(1) is met.
52 In consequence of that determination, and of the other findings made by the Commission on 6 March 2015, Deputy President Hamilton made a s 418 order in the following terms:
1. TITLE
This Order shall be known as the Esso Australia Pty Ltd Industrial Action Order 2015 No 3 (the Order).
2. APPLICATION and PARTIES BOUND
This Order is binding on and applies to:
(a) the Australian Workers' Union (the AWU);
(b) the delegates, officers, employees, servants, and agents of the AWU;
(c) employees of Esso Australia Pty Ltd who are members of the AWU and who are covered by the Esso Gippsland Longford and Long Island Point Enterprise Agreement 2011 (Employees);
(d) Esso Australia Pty Ltd (Esso).
3. DEFINITIONS
3.1 Subject to 3.2, for the purposes of this Order, 'Industrial Action' has the meaning prescribed by section 19 of the Fair Work Act 2009 (Act) and includes:
(a) the performance of work in a manner different from that in which it is customarily performed, or the adoption of a practice in relation to work the result of which is a restriction or limitation on, or a delay in, the performance of equipment testing, air freeing, and leak testing;
(b) a ban, limitation or restriction on the performance of work on the performance of equipment testing, air freeing, and leak testing.
3.2 For the purpose of this Order, industrial action excludes any ban on the performance of equipment testing where that ban is the subject of a proper notice of employee claim action.
4. INDUSTRIAL ACTION MUST STOP AND NOT BE ORGANISED
4.1 On and from the time specified in clause 6.1 of this Order:
(a) the AWU;
(b) delegates, officers, employees, and agents of the AWU;
(c) the Employees;
must not organise any Industrial Action.
4.2 On and from the time specified in clause 6.1 of this Order, Employees must not engage in Industrial Action.
5. SERVICE OF ORDER
5.1 The AWU must:
(a) as soon as practicable following the time specified in clause 6.1 of this Order, prepare a written notice (the Written Notice) signed by an authorised official of the AWU in the following terms:
"The Fair Work Commission has issued a section 418 order to stop or prevent unprotected industrial action. The unprotected industrial action identified by the Fair Work Commission was the refusal of employees to perform equipment testing, air freeing and leak testing.
The order is called the Esso Australia Pty Ltd Industrial Action Order 2015 No 3 (the "Order").
The Order prohibits the AWU and members of the AWU from organising and engaging in any ban, limitation or restriction on the performance of equipment testing, air freeing and leak testing.
The Order applies to:
(i) the AWU;
(ii) delegates, officers, employees, and agents of the AWU;
(iii) employees of Esso Australia Pty Ltd who are members of the AWU and who are covered by the Esso Longford and Long Island Point Agreement 2011.
AWU members must not refuse to perform, or impose limitations or restrictions on the performance of equipment testing, air freeing and leak testing for the duration of the order."
(b) by 6.00 pm on 6 March 2015, the AWU must:
(i) distribute the Written Notice to all Employees who are members of the AWU by email and by SMS message "Esso members are prohibited from taking unprotected industrial action. Please see link:" with a link to the Written Notice;
(ii) provide a copy of the Written Notice to Esso;
(iii) publish the Written Notice on a prominent place on the AWU website www.awu.net.au;
5.2 As soon as practicable following the time specified in clause 6.1 of this Order, Esso must:
(a) email all Employees, which must:
(i) attach a copy of this order; and
(ii) contain the text of the Written Notice outlined in 5.1(a) but adapted to clarify that the Written Notice is communicated by Esso to the Employees.
(b) place a copy of this order on the notice board(s) usually used by Esso for the purposes of communicating with the Employees.
6. TERM AND DATE OF EFFECT
This order shall come into effect at 6.00 pm on Friday 6 March 2015 and shall cease to have effect at 6.00 pm on Friday 20 March 2015.
The wording added at the end of each of paras (a) and (b) of cl 3.1 of this order should be noted.
53 At the hearing when the Commission made this order, the respondent was represented by its organiser with responsibility for the Longford plant, James Ward. Two of the respondent's delegates at Longford, Mr Steed and Mark Vos, were also present. The order was made at about 3.30 pm on 6 March 2015, and Mr Ward sent a copy of it to Mr Steed by email at about 4.40 pm. Mr Steed received it on his way back to Longford. He then held a telephone conference with the delegates at Longford to inform them of the outcome in the Commission, and of the order that had been made. He directed those delegates to hold meetings of their shifts to advise the respondent's members of the orders, and what was prohibited under them. Although not mentioned by Mr Steed, one of those delegates, Anthony Malady, gave evidence that he first became aware of the Commission's order on the afternoon of 6 March 2015 (before Mr Steed's telephone conference) when he received what was a group message from Mr Steed, stating that orders had been made which required the operators to perform leak testing and air freeing, but, the "[b]an on de-isolations remains". Mr Steed sent a copy of the Commission's orders to the other delegates at about 9.10 am on 7 March 2015.
54 On that day, 7 March 2015, there were three items of work scheduled for leak testing and air freeing at Longford which Mark Lloyd, Operations Supervisor - Longford Plants, described as follows:
(a) air freeing on the 'frac system', which is work associated with what is known as the 'Kipper Mercury Removal' project (KMR Project); and
(b) leak testing on the 'crude header', which relates to work on the Crude Oil Stabilisation Plant to rectify some corrosion; and
(c) pressure testing the 'propane header', which also relates to work on the Crude Oil Stabilisation Plant to replace a worn valve.
Three employees were to be allocated this air freeing and leak testing work.
55 One of those employees was Gary Jones, an operator and a member of the respondent. On the morning of 7 March 2015, the members of his shift held a meeting. They were addressed by their delegate, Karl Tschugguel. He informed them of the Commission's order, and what it required. He said that they were not to ban air freeing and leak testing work. There followed a discussion about what could be done without breaching the order. The operators decided that, if points were listed on the ICC, they were de-isolation work and were covered by the ban. They decided that, under the ban, it was open to them to refuse to manipulate the points or valves.
56 At approximately 9:00 am, Mr Lloyd met with Mr Jones. They discussed the leak testing to be performed on the propane header, the pressure rating on the vessels, and the scope of the work generally. Mr Lloyd came away from those discussions with the understanding that Mr Jones was going to perform the leak testing.
57 Mr Jones then spoke to Mr Tschugguel, and informed him that Mr Lloyd had requested that he perform leak testing work on the propane header. He sought clarification as to what he could and could not do as part of the protected industrial action. He told Mr Tschugguel that a bleeder valve on the propane header would have to be manipulated before he could conduct pressure testing. Mr Tschugguel then asked Mr Jones to access a computer to check the electronic ICC. Having done so, Mr Jones said that the ICC was "in place", and that it also listed the bleeder valve as a tagged valve. The valve was also tagged "in the field". On the basis of this information, Mr Tschugguel advised Mr Jones that, if a supervisor manipulated the bleeder valve and recorded "de-isolation in progress" on the ICC, both on the computer and in the field, he should comply with the Commission's order and perform the pressure test.
58 At about 9:30 am, Mr Jones returned to Mr Lloyd's office and informed him that he would not shut the bleeder valves to facilitate the leak testing. Mr Jones said that he was refusing to do this because the open/shut status of bleeders was recorded on the ICC, and, accordingly, work involving the manipulation of bleeder valves formed part of the de-isolation process. It was, therefore, as Mr Jones informed Mr Lloyd, covered by the ban imposed upon de-isolations of equipment notified on 12 February 2015. Mr Jones said that he was willing to perform the leak testing if a supervisor manipulated the bleeder valves. Mr Lloyd's response, as stated in his evidence-in-chief, was as follows:
I questioned that. To me it wasn't part of a ban. I was under the impression we were okay to purge and pressure test, and there was no protected action around that. I felt I understood the ban on de-isolation of equipment. I certainly wasn't asking him to de-isolate any equipment. I was asking him to perform a leak test. So I suggested he think about that, because I was just asking him to manipulate some bleeders so we could start the pressure test.
59 According to the evidence of Mr Lloyd, Mr Jones also said that he had made this decision after consulting his delegate, Mr Tschugguel. In his evidence-in-chief, Mr Jones denied that, adding that Mr Tschugguel was present at the time, as was another of the respondent's delegates, Brian Rawnson. Neither Mr Lloyd nor Mr Jones was cross-examined about this point of disagreement. However, what I have said in para 60 of these reasons is taken from the unchallenged evidence of Mr Tschugguel, from which it appears that Mr Jones had indeed had the consultation referred to in Mr Lloyd's evidence.
60 Mr Lloyd then asked Mr Tschugguel to come to his office, which he did. He (Tschugguel) confirmed that he had instructed Mr Jones not to shut any bleeder valves to progress the leak testing. He said that he had told Mr Jones to undertake pressure testing only after a supervisor had put the "de-isolation in progress" on the computer and manipulated the bleeder valve listed on the ICC. According to Mr Tschugguel's evidence, the respondent's members were not refusing to perform air freeing or leak testing as such.
61 This meeting was followed by another at about 10:45 am, also in Mr Lloyd's office. In addition to Mr Lloyd himself and Mr Tschugguel, Mr Jones and Rob Mahon, Operations Supervisor at Longford, were present. Mr Lloyd stated the applicant's position that the manipulation of bleeder valves was work that formed part of air freeing and leak testing. Mr Tschugguel then asked Mr Rawnson, to join the meeting. Having done so, Mr Rawnson confirmed, on behalf of Mr Tschugguel and Mr Jones, that it was the respondent's position that bleeder valve manipulation formed part of the ban on the de-isolation of equipment. He confirmed that the respondent's members would perform air freeing and leak testing once all bleeder valve manipulations had been completed by supervisory staff.
62 At about 3:30 pm, there was yet another meeting in Mr Lloyd's office, convened by Mr Kristeff. In addition to Messrs Lloyd and Kristeff, Messrs Rawnson and Tschugguel were present, as was Rob Mackie, Operations Superintendent at Longford. At the meeting, Mr Kristeff asked Messrs Rawnson and Tschugguel whether they had been provided with the Commission's order made the previous day. They said that they had. Mr Kristeff said that the Commission had made a ruling about what a de-isolation was, which confirmed the applicant's view that leak testing and air freeing were not part of the ban. He said that de-isolations were defined in the WMS, and did not include leak testing and air freeing. He directed Messrs Rawnson and Tschugguel to perform leak testing and air freeing when that work became available later in the day.
63 Messrs Rawnson and Tschugguel did not agree with Mr Kristeff. They held to the respondent's position as explained to Mr Lloyd earlier that day. They said that they would not perform the manipulation of bleeder valves because that was identified on the ICC. Mr Kristeff asked them, and they agreed, to confirm their position after speaking to Mr Steed. The meeting concluded on that note.
64 At about 4:15 pm on 7 March 2015, Messrs Rawnson and Tschugguel met with Messrs Kristeff and Mackie in Mr Kristeff's office. They telephoned Mr Steed, who joined the conversation on speaker phone. He told Mr Kristeff that the respondent's position was that its members would not shut bleeder valves as part of air freeing or leak testing, because bleeder valves were identified on the ICC. He said that supervisors would need to shut bleeders, and to direct operators what to do subsequently, if air freeing or leak testing were to proceed.
65 After some correspondence between the applicant's solicitors and the respondent, the present proceeding was commenced on 16 March 2015. On 17 March 2015, the court made an interim injunction lasting until 4:00 pm on 25 March 2015, restraining the respondent from organising industrial action relating to bargaining for a replacement enterprise for the agreements referred to in para 5 above. On 25 March 2015, the court made an interlocutory injunction restraining the respondent, pending the hearing and determination of this proceeding, from organising industrial action at Longford of various descriptions, including "bans on de-isolations, equipment testing, air freeing and leak testing".