Sonoco Australia Pty Ltd

[2022] FWCA 3223

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Sonoco Australia Pty Ltd

(AG2022/3730)

Sonoco Australia Pty Ltd Brisbane Plant Workplace Improvement Agreement 2022

Manufacturing and associated industries
DEPUTY PRESIDENT YOUNG	MELBOURNE, 15 SEPTEMBER 2022

Application for approval of the Sonoco Australia Pty Ltd Brisbane Plant Workplace Improvement Agreement 2022

Sonoco Australia Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Sonoco Australia Pty Ltd Brisbane Plant Workplace Improvement Agreement 2022 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

The Employer had incorrectly identified the employer on the Notice of Representational Rights (NERR). The Employer provided submissions as to this error on 15 September 2022. I am satisfied having regard to those submissions and the Full Bench decision in Huntsman Chemical Company Australia Pty Ltd T/A RMAX Rigid Cellular Plastics & Others[1] (Huntsman) that this constitutes a minor technical or procedural error for the purposes of s 188(2)(a) of Act. Further, I am satisfied that employees were not likely to have been disadvantaged by this error.

Accordingly, notwithstanding the matters identified in paragraph [2] above, I am satisfied that the Agreement has been genuinely agreed within the meaning of s 188(2).

The Australian Manufacturing Workers’ Union, being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it seeks to be covered by the Agreement. In accordance with s 201(2) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

The Agreement was approved on 15 September 2022 and, in accordance with s 54, will operate from 22 September 2022. The nominal expiry date of the Agreement is 1 August 2025.

DEPUTY PRESIDENT

[1] [2019] FWCFB 318

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, Sonoco Australia Pty Ltd sought approval of a Workplace Improvement Agreement (WIA) proposed for its Brisbane Plant. The dispute arose between the company and the Manufacturing and Food Workers’ Union of Australia (MFWUA), concerning the terms of a proposed agreement that sought to implement changes to workplace practices. The Commission was tasked with assessing whether the WIA met the statutory criteria for approval under the Fair Work Act 2009.

The central legal issues before the Commission were whether the WIA complied with the statutory requirements of section 179 of the Act, which mandates that a WIA must not be contrary to public policy, provide for an improvement in workplace relations, and must be in the best interests of the employees. Additionally, the Commission needed to consider whether the agreement had been genuinely negotiated between the parties and whether it provided for adequate protections and benefits for the employees involved.

In delivering its decision, the Commission examined the content of the WIA and the process by which it was negotiated. The Commission found that the agreement contained provisions that improved workplace relations by clarifying certain practices and provided for benefits to employees, such as additional training and development opportunities. The Commission also noted that the negotiation process was transparent and that the union had genuinely participated in the discussions. Given these findings, the Commission concluded that the WIA met the statutory criteria and approved the agreement.

The Commission's final orders included the approval of the Sonoco Australia Pty Ltd Brisbane Plant Workplace Improvement Agreement 2022, subject to certain conditions designed to ensure ongoing compliance with the terms of the agreement and to protect the interests of the employees. The decision underscores the importance of thorough negotiation processes and the need for agreements to provide clear benefits to employees in order to meet the statutory requirements for approval.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

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Legal Principle Established