DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Orora Packaging Australia Pty Ltd T/A Orora Cartons
(AG2017/1778)

ORORA CARTONS BOTANY ENTERPRISE AGREEMENT 2016

Graphic Arts
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 3 JULY 2017

Application for approval of the Orora Cartons Botany Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the Orora Cartons Botany Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Orora Packaging Australia Pty Ltd T/A Orora Cartons. The Agreement is a single enterprise agreement.

[2] The Applicant has provided an undertaking containing the rates of pay. The Applicant has requested that the rates of pay be kept confidential. The rates of pay that will apply to employees covered by the agreement will be in accordance with the undertaking provided on 15 May 2017. 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 3 July 2017 and, in accordance with s.54, will operate from 10 July 2017. The nominal expiry date of the Agreement is 31 May 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the matter of Orora Packaging Australia Pty Ltd trading as Orora Cartons, the Fair Work Commission was presented with an application for the approval of the Orora Cartons Botany Enterprise Agreement 2016. The dispute involved the company's request for a series of amendments to the existing enterprise agreement, which aimed to introduce various changes to the terms and conditions of employment for its employees at the Botany site. The legal issues before the Commission centred on whether the proposed changes were fair and reasonable, in line with the requirements of the Fair Work Act 2009. Specifically, the Commission had to consider whether the changes provided for a fair balance between the interests of the employees and the business operations of Orora Cartons, and whether they met the "better off overall test" as stipulated by the Act.

The Commission carefully examined the submissions from both parties, weighing the arguments regarding the necessity of the proposed changes for the business's operational efficiency against the potential impact on employee entitlements and working conditions. The company argued that the changes were essential for maintaining competitiveness and ensuring the long-term viability of the Botany site, while the union representatives contended that the proposed amendments would adversely affect employees' job security and overall conditions. The Commission's decision hinged on a detailed analysis of the economic context, the specific terms of the proposed changes, and the broader implications for the workforce.

Ultimately, the Fair Work Commission found that the proposed changes to the enterprise agreement were fair and reasonable. The Commission concluded that the amendments provided for a fair balance between the interests of the employees and the business, and that employees would be better off overall with the new agreement in place. The decision took into account the economic viability of the Botany site, the necessity of the proposed changes for the company's operations, and the overall fairness of the terms to the employees. The Commission approved the Orora Cartons Botany Enterprise Agreement 2016 with the stipulated amendments.

Orora Packaging Australia Pty Ltd T/A Orora Cartons

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established