Orora Limited T/A Orora Closures Systems

[2014] FWCA 1379

[2014] FWCA 1379

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.222—Enterprise agreement

Orora Limited T/A Orora Closures Systems
(AG2014/3707)

AMCOR CLOSURE SYSTEMS LAVERTON NORTH DECORATION DEPARTMENT ENTERPRISE AGREEMENT 2010

Graphic Arts
COMMISSIONER CRIBB	MELBOURNE, 25 FEBRUARY 2014

Application for termination of the Amcor Closure Systems Laverton North Decoration Department Enterprise Agreement 2010.

[1] Orora Limited T/A Orora Closures Systems (the Applicant, Orora) has made an application under section 222 of the Fair Work Act 2009 (the Act) for approval to terminate the Amcor Closure Systems Laverton North Decoration Department Enterprise Agreement 2010 1(the Agreement). The application was accompanied by a statutory declaration of Mr Lynley Corcoran, Human Resources Manager of Orora, dated 17 February 2014.

[2] The statutory declaration provided an outline of the process undertaken by the Applicant in respect of the vote. The statutory declaration provides that employees were given eight days between advice of the ballot and the actual ballot taking place to ensure employees a reasonable opportunity to decide whether they want to approve the proposed termination. The application to terminate the Agreement was stated to be in the context of approval of a new Agreement, whereby it is necessary to terminate the current agreement in order for the new Agreement to commence. On the material before me, I am satisfied that the requirements of section 220(2) of the Act has been met.

[3] The statutory declaration provided evidence that a majority of the employees who cast a valid vote approved the termination of the agreement. On the material before me, I am satisfied that pursuant to section 221(1) of the Act, the employees were asked by the employer to approve a termination and that the termination of the agreement was agreed to.

[4] The Application was made by Orora Limited T/A Orora Closures Systems, which is covered by the Agreement (s.222(1)). The application was accompanied by a statutory declaration as required by s.222(3).

[5] The statutory declaration dated 17 February 2014 provided that the termination was agreed to on 12 February 2014. I am satisfied that the application was made within 14 days after the termination was agreed to (s.222(3)).

[6] Section 223 of the Act sets out when the Fair Work Commission (the Commission) must approve a termination:

“223 When the FWC must approve a termination of an enterprise agreement

If an application for the approval of a termination of an enterprise agreement is made under section 222, the FWC must approve the termination if:

(a) the FWC is satisfied that each employer covered by the agreement complied with subsection 220(2) (which deals with giving employees a reasonable opportunity to decide etc.) in relation to the agreement; and

(b) the FWC is satisfied that the termination was agreed to in accordance with whichever of subsection 221(1) or (2) applies (those subsections deal with agreement to the termination of different kinds of enterprise agreements by employee vote); and

(c) the FWC is satisfied that there are no other reasonable grounds for believing that the employees have not agreed to the termination; and

(d) the FWC considers that it is appropriate to approve the termination taking into account the views of the employee organisation or employee organisations (if any) covered by the agreement.”

[7] As detailed above, I am satisfied that the employer complied with section 220(2) of the Act (s.223(a)). I have also detailed that I am satisfied that the termination was agreed to in accordance with section 221(1) of the Act (s.223(b)).

[8] There are no other reasonable grounds for believing that the employees have not agreed to the termination (s.223(c)).

[9] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) has advised the Commission that it supports the application to terminate the Agreement (s.223(d)).

[10] On the material before me I am satisfied that the requirements of the Act have been met and, therefore, pursuant to section 223 of the Act,I must approve the termination of the Agreement.

[11] The termination of the Agreement will take effect from midnight on Monday 3 March 2014 pursuant to section 224 of the Act. This date has been selected given that the date for the operation of the new enterprise agreement (the Orora Closure Systems Laverton North Decoration Department Enterprise Agreement 2014 2), will be Tuesday 4 March 2014.

 1   AE884886

 2   AE407035

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<Price code A, AE884886  PR548144>