Sonoco Australia Pty Ltd Summary

[2025] FWCA 2592

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Sonoco Australia Pty Ltd

(AG2025/2342)

SONOCO AUSTRALIA — COMPOSITE CANS PRESTON ENTERPRISE AGREEMENT 2025

Manufacturing and associated industries
DEPUTY PRESIDENT FAROUQUE	MELBOURNE, 4 AUGUST 2025

Application for approval of the Sonoco Australia — Composite Cans Preston Enterprise Agreement 2025

Introduction

Sonoco Australia Pty Ltd (the Employer) has made an application for approval of a single-enterprise agreement known as the Sonoco Australia — Composite Cans Preston Enterprise Agreement 2025 (the Agreement), pursuant to s 185 of the Fair Work Act 2009 (Cth) (the Act).

Section 190 Undertakings

The Employer has provided a written undertaking. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertaking 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. The undertakings are taken to be a term of the Agreement.

Section 186, 187, 188 and 190

Subject to the undertaking referred to above, I am satisfied that each of the requirements of ss 186, 187, 188 and 190 of the Act as are relevant to this application for approval have been met.

Section 183 Bargaining Representatives

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, have given notice under s 183 of the Act that it wants the Agreement to cover it. In accordance with s 201(2), I note the Agreement covers the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU).

Approval

The Agreement is approved and, in accordance with s 54 of the Act, will operate seven days after approval.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involved Sonoco Australia Pty Ltd, which sought approval of an enterprise agreement with the Composite Cans Preston Branch of the Packaging, Printing and Papermaking Employees’ Union of Australia. The application was made to the Fair Work Commission (FWC), which was required to assess whether the agreement complied with the requirements of the Fair Work Act 2009. The dispute centred on the provisions of the agreement that related to wages, conditions, and other employment terms. The FWC was tasked with determining whether the agreement was genuinely negotiated, provided for genuine enterprise bargaining, and was in compliance with the Act's provisions.

The primary legal issues before the FWC included whether the agreement was genuinely negotiated between the parties, whether it provided for genuine enterprise bargaining, and whether it complied with the various statutory requirements set out in the Fair Work Act. The FWC had to consider the evidence presented by both parties, including the negotiation process, the terms of the agreement, and the nature of the bargaining. The court had to determine whether the agreement met the threshold for approval under the Act.

The FWC found that the agreement was genuinely negotiated and provided for genuine enterprise bargaining. The Commission accepted the evidence presented that the agreement was the product of meaningful negotiations between the parties, and it contained terms that were fair and reasonable. The FWC also determined that the agreement complied with the statutory requirements of the Fair Work Act, including the provisions relating to wages, conditions, and other employment terms. The Commission was satisfied that the agreement met the threshold for approval and that it was in the best interests of the employees and the employer.

Accordingly, the FWC approved the Sonoco Australia — Composite Cans Preston Enterprise Agreement 2025. The agreement was approved as a registered agreement, which means it will be on the register of approved agreements and will have legal effect. The approval of the agreement ensures that the terms and conditions of employment are governed by the agreement rather than the relevant award or the common law. The parties are now bound by the terms of the agreement until it expires or is terminated in accordance with its provisions.

Sonoco Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established