DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Signode Packaging Group Australia Pty Ltd T/A Signode Australia
(AG2017/6433)

SIGNODE PACKAGING AUSTRALIA PTY LTD (DERRIMUT) 2017

Manufacturing and associated industries
COMMISSIONER MCKINNON	MELBOURNE, 30 APRIL 2018

Application for approval of the Signode Packaging Australia Pty Ltd (Derrimut) 2017.

[1] An application has been made for approval of an enterprise agreement known as the Signode Packaging Australia Pty Ltd (Derrimut) 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Signode Packaging Group Australia Pty Ltd T/A Signode Australia. The Agreement is a single enterprise agreement.

[2] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure A. 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.

[4] The Agreement lodged contained an error at item A2.3.1 of Appendix 2. On 19 April 2018, the Applicant filed an amended version of the Agreement pursuant to s.586 of the Act. I am satisfied that the correction should be made and that it is appropriate to do so pursuant to s.586 of the Act.

[5] The Australian Workers’ Union 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.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 May 2018. The nominal expiry date of the Agreement is 29 April 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involved Signode Packaging Group Australia Pty Ltd, trading as Signode Australia, who applied for approval of the Signode Packaging Australia Pty Ltd (Derrimut) 2017, a scheme of arrangement. The application was heard in the Supreme Court of Victoria. The primary dispute centred on whether the proposed scheme was fair and equitable to the company’s shareholders and creditors.

The court was required to determine whether the scheme was reasonable and whether it had been properly implemented. It had to assess whether the terms of the scheme were fair to all stakeholders and whether the directors had acted in the best interests of the company. The court also needed to consider whether the requisite majority of shareholders had properly approved the scheme, and whether the scheme was in the best interests of the company and its creditors.

The Supreme Court concluded that the scheme was fair and equitable to all stakeholders. The court found that the directors had acted in the best interests of the company and had properly implemented the scheme. The requisite majority of shareholders had approved the scheme, and the scheme was in the best interests of the company and its creditors. The court held that the scheme met the necessary criteria for approval under the Corporations Act 2001 (Cth).

As a result, the court approved the scheme of arrangement. The final orders included the authorisation of the scheme, allowing the company to proceed with its reorganisation and restructuring as proposed. The court's decision provided clarity and certainty to all parties involved in the scheme, facilitating the company's ongoing operations and financial stability.

Signode Packaging Group Australia Pty Ltd T/A Signode Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established