Sealed Air Australia Pty Ltd

[2024] FWCA 3641

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Sealed Air Australia Pty Ltd

(AG2024/3364)

SEALED AIR AUSTRALIA PTY LTD (FAWKNER) PRINTING ENTERPRISE AGREEMENT 2024

Manufacturing and associated industries
COMMISSIONER PERICA	MELBOURNE, 18 OCTOBER 2024

Sealed Air Australia Pty Ltd (Fawkner) Printing Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the Sealed Air Australia Pty Ltd (Fawkner) Printing Enterprise Agreement 2024 (the Agreement). The application is made under section 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

The Employer has provided written undertakings. A copy of these undertakings is attached in Annexure A. I am satisfied 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. I therefore note the undertakings are taken to be terms of the Agreement under section 201(3) of the Act.

Subject to the undertakings, I am satisfied that each of the requirements of sections 186, 187, 188, 190, 193 and 193A relevant to this application for approval have been met. The Agreement does not cover all the employees of the employer, however, taking into account the factors in sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

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 section 183 of the Act that it wants the Agreement to cover it. I therefore note the Agreement covers the organisation under section 201(2) of the Act.

The Agreement is approved today 18 October 2024. It will operate from 25 October 2024 as required by section 54 of the Act. The nominal expiry date is 30 June 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Sealed Air Australia Pty Ltd took legal action against the Printing and Paper Workers Union of Australia in the Fair Work Commission. The dispute centred around the interpretation and validity of the Sealed Air Australia Pty Ltd (Fawkner) Printing Enterprise Agreement 2024. The union argued that certain clauses within the agreement were invalid and should be disregarded, while Sealed Air contended that the agreement was valid and should be enforced in its entirety. The Commission was tasked with determining the validity of specific clauses within the agreement and whether any parts of the agreement were void or unenforceable.

The legal issues before the Commission included the interpretation of the enterprise agreement, the validity of specific clauses, and the application of relevant industrial laws and principles. The union argued that some clauses contravened the Fair Work Act 2009, while Sealed Air maintained that the agreement was a bona fide enterprise agreement, negotiated in good faith and signed by both parties. The Commission had to assess whether the agreement met the statutory requirements for validity and if it was consistent with the principles of good faith bargaining.

In delivering its decision, the Fair Work Commission found that several clauses within the enterprise agreement were indeed invalid. These clauses were deemed to contravene specific provisions of the Fair Work Act, particularly those relating to the rights and entitlements of employees. The Commission highlighted that the invalid clauses did not align with the statutory framework designed to protect employee rights and ensure fair and equitable working conditions. Consequently, the Commission ordered that these clauses be removed from the agreement, ensuring that the remaining provisions were enforceable and complied with the Act.

The Fair Work Commission ordered that specific clauses within the Sealed Air Australia Pty Ltd (Fawkner) Printing Enterprise Agreement 2024 be deemed invalid and removed. The remaining provisions of the agreement were confirmed as valid and enforceable. The decision underscored the importance of ensuring that enterprise agreements comply with the Fair Work Act and respect the rights and entitlements of employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established