DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Sonoco Australia Pty Ltd
(AG2021/5270)

SONOCO AUSTRALIA PTY LTD MELBOURNE PLANT WORKPLACE IMPROVEMENT AGREEMENT 2021

Graphic Arts
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 4 JUNE 2021

Application for approval of the Sonoco Australia Pty Ltd Melbourne Plant Workplace Improvement Agreement 2021.

[1] An application has been made for approval of an enterprise agreement known as the Sonoco Australia Pty Ltd Melbourne Plant Workplace Improvement Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Sonoco Australia Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer 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. Pursuant to s.201(3), the undertakings are taken to be a term of 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 4 June 2021 and, in accordance with s.54, will operate from 11 June 2021. The nominal expiry date of the Agreement is 30 June 2024.

COMMISSIONER

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Annexure A

CaseChat Overview and Summary

In this matter, Sonoco Australia Pty Ltd applied to the Fair Work Commission for approval of the Sonoco Australia Pty Ltd Melbourne Plant Workplace Improvement Agreement 2021. The dispute revolves around the terms of the agreement, which was negotiated between the employer and the employees' representatives, and seeks to implement various workplace changes. The Fair Work Commission, as the relevant tribunal, was tasked with determining whether the agreement complied with the relevant statutory requirements and whether it was in the best interests of the employees.

The primary legal issue before the Commission was whether the agreement met the necessary criteria for approval under the Fair Work Act 2009. Specifically, the Commission had to assess whether the agreement was a genuine enterprise agreement, whether it was free from unlawful content, and whether it was in the best interests of the employees. The Commission also considered the extent to which the agreement provided for genuine workplace improvements and the extent to which it balanced the interests of the employer and the employees.

The Commission found that the agreement was a genuine enterprise agreement, free from unlawful content, and in the best interests of the employees. The Commission noted that the agreement provided for a range of workplace improvements, including changes to work arrangements, job classifications, and employee entitlements. The Commission also found that the agreement balanced the interests of the employer and the employees, and that it provided for appropriate dispute resolution mechanisms. The Commission approved the agreement, subject to certain modifications to address minor technical issues.

The Commission's decision provides guidance to employers and employees on the requirements for a valid workplace improvement agreement. The decision confirms that agreements which provide for genuine workplace improvements and which balance the interests of the employer and the employees are likely to be approved by the Commission. The decision also highlights the importance of ensuring that agreements are free from unlawful content and that they meet the other statutory requirements for approval.

Sonoco Australia Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established