Striking Amcor workers in Preston renew call for support : Melbourne Indymedia

Anyone driving along Bell St near the Amcor site at number 29 (between Albert Street and Chiffley Drive) late this afternoon (Saturday) would have seen signs calling for motorists to toot in support of the picket. Many did. The picket, numbering about 30 workers at the time, was fairly quiet, but this may not continue after the weekend. Since the previous notice was posted the IRC has issued an interim order instructing strikers to return to work immediately, and a lette from th company to employees is hardly conciliatory:
[Quote]An interim order was issued ... on Friday which ordered the AMWU and employees to stop industrial action and return to work. [...] Although it is called an interim order this means that it operates until a final hearing ... it is enforceable and penalties do apply for breaches... The order is binding on you as an employeee of Amcor and a breach of the order is serious.[End quote]
Strikers are members of the AMWU, but the union's response to the situation is interesting.
The company's letter has a section headed 'Why did the Federal court get involved?', which explains amongst other things "The Compnay went to the Federal court to force the AMWU to halt the industrial action and to dismantl;e the the picket at the site. The AMWU made a commitment to the FC that the industrial action and the picket [were] not authorised or being organised by the AMWU. Dave Oliver, State Secretary of the AMWU, has instructed all AMWU offiers and officials not to attend the Amcor Flexibles aite at Preston. The AMWU gave an undertaking to the court that it would issue a letter to all delegates and employees instructing them to return to work... You are directed to return to work immediately. work will be made available to all employees who wish to return and the company will ensure that employees have safe access ..."
The letter from Dave Oliver is brief: "On 3 August 2006 the Australian Industrial Relations Commission made orders to the employees of Amcor Flexibles of Preston to return to work. The AMWU urges you to comply with these orders and immediately return to work."

Interestingly enough, it was widely reported recently in another context (for example by the Sydney Morning Herald: http://www.smh.com.au/news/business/trujillos-95-million-severance-pay/2006/08/04/1154198325865.html)
that a survey of stock market analysts by BRW Magazine had found that Amcor was the least admired company in Australia ...

The striking workers need public support. More on website of Union solidarity, some of whose members were at the picket today: http://www.unionsolidarity.org
contact@unionsolidarity.org
Or phone Dave Kerin 0412 484 094, Joe Montero 0402 679 201.

The picket shelter in the background ...

SOURCES:
google search shows:

http://www.amcor.com/

The Amcor Group – Business Overview

Amcor Limited’s group of companies is comprised of six main operating companies, four of which are headquartered outside Australia. Most of these specialise in specific sectors of the packaging market.

Amcor Australasia – is the most diverse of the business units and supplies a broad range of packaging items across the complete Amcor product line. Its range of products includes: Corrugated boxes, cartons, folding cartons; steel and aluminium cans for foods, beverages and household products; flexible packaging; PET plastic jars and bottles; plastic and metal closures; glass wine bottles; multiwall sacks, paper, cartonboard and paper recycling.

Amcor Australasia Overview

Amcor Australasia is a major manufacturer of plastic, fibre and metal packaging in Australia and New Zealand.

In Australia, the group manages Amcor's packaging paper mills and recycling activities. The group operates 70 manufacturing plants and holds a significant market share in this region.

Managing Director:
Lou Lachal

Head office:
971-973 Burke Road
Camberwell Victoria 3124
Australia

Telephone: 61 3 9811 7111
Fax: 61 3 9811 7171

Amcor Asia – which was the region of earliest overseas expansion around 1985, also has a diverse range of products, including fibre packaging, (cartons and sacks), speciality folding cartons and tobacco packaging, flexible plastics and some PET containers and closures.

Amcor Asia, based in Singapore, operates 15 plants spread across five countries -
Singapore, Malaysia, Indonesia, China and Thailand. Amcor Asia is a leading
supplier of corrugated and tobacco packaging in the region. Other products
include closures, flexible packaging and paper sacks.

Managing Director:
Billy Chan Chew Keak

Head office:
17 Senoko Loop
Woodlands East Industrial Estate
Singapore 758151

Telephone: 65 6756 1088
Fax: 65 6756 1087
Email: amcor@singnet.com.sg

Amcor Flexibles – was formed in 2001 (then called Amcor Flexibles Europe) with the merger of the Amcor Flexibles Europe businesses with Danisco Flexible and the majority of Akerlund & Rausing. This business has continued expanding its operations over the last few years via the acquisitions of Rexam Food Flexibles and Tobepal S.A. in Spain in 2002 and Rexam Healthcare Flexibles in 2003.

Amcor Flexibles is one of Europe’s largest suppliers and market leaders in flexible packaging.

The business is headquartered in the United Kingdom and operates 46 manufacturing plants throughout the world supplying a wide range of food, beverage and healthcare markets. This includes fresh foods such as meat, fish, bread, produce and dairy; processed foods such as confectionery, snack foods, coffee and ready meals, as well as tobacco and high value added medical applications, hospital supplies, pharmaceuticals and personal care products.

Amcor Flexibles offers a broad skill base and comprehensive range of technological capabilities including state-of-the-art gravure and flexographic printing, coating and extrusion and adhesive laminations, monolayer and coextruded films, metallising, paper and foil laminations, micro-perforation, film, vented and header bags, pouches, die cut lids and labels.

From plants in Belgium, Denmark, Finland, France, Germany, Ireland, Italy, the Netherlands, Norway, Poland, Portugal, Spain, Sweden, Switzerland, the UK, the USA, Latin America and Asia, Amcor Flexibles offers innovative packaging solutions which not only provide high levels of protection and preservation, but also enhance consumer appeal and convenience.

Head Office:
Brighouse Court
Barnwood
Gloucester GL4 3RT
United Kingdom

Telephone: +44 (1452) 634100
Fax: +44 (1452) 634150

Amcor Flexibles Food,
Managing Director
Gerard Blatrix

Amcor Flexibles Healthcare,
President
Peter Brues

Amcor Rentsch & Amcor Flexibles Eastern Europe,
Managing Director
Jerzy Czubak

The wide variety of flexible packaging solutions now made globally by Amcor Flexibles includes flexible and film packaging in the food and beverage and pharmaceutical sectors, including confectionery, coffee, fresh food and dairy, as well as high value-added medical applications.

The Amcor Flexibles group also includes Amcor Rentsch, a tobacco and specialty folding cartons business, which has expanded into Eastern Europe and Russia. Amcor Rentsch makes specialty folding cartons for tobacco, confectionery and cosmetics.

Amcor PET Packaging – The acquisition of the PET and Closures assets in 2002 from the Schmalbach Lubeca Group of Germany elevated Amcor to the position of being the world’s largest manufacturer of PET containers. With around 70 plants globally, this business makes over 32 billion PET containers per annum, for a broad range of products, including carbonated soft drinks, water, juices, sports drinks, milk-based beverages, spirits and beer, sauces, dressings, spreads and personal care items. This business also includes Bericap North America which produces plastic and metal caps and lids for a wide variety of applications, mostly linked to the food and beverage industries.

Amcor Sunclipse – The American based distribution and corrugated manufacturing unit of Amcor produces packaging products to complement its distribution services. Amcor Sunclipse has 38 distribution centres throughout the USA and Mexico and 14 manufacturing plants.

The distribution unit is a major supplier in this sector in North America which purchases, warehouses, sells and delivers a wide variety of products. Amcor Sunclipse manufactures corrugated and other specialty product packaging including “Point of Purchase” displays and foam and fabricated packaging concepts.

Further information on all these businesses can be obtained from their respective sections of the Amcor website.

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from Australian Stock Exchange
http://www.asx.com.au/asx/research/CompanyInfo.jsp?allinfo=on&asxCode=AMC - 37k - 13 Aug2006

AMCOR LIMITED (AMC)
Major global packaging company with annual sales of approximately A$11 billion, based in Melbourne, Australia, with 242 plants in 40 countries. World's largest producer of PET containers. Amcor has a broad range of plastic, fibre, metal and glass packaging products; PET containers; plastic and metal closures; along with packaging-related services.

On this page you will find:
Delayed share price ASX-Listed Emblem Company details
Company announcements Closing prices
Price history chart Dividends
Exchange Traded Options Warrants
Delayed share price

Prices are delayed by at least 20 minutes. Retrieving any price indicates your acceptance of the Conditions.
Code Last % Chg Bid Offer Open High Low Vol
AMC 6.280 0.64% 6.270 6.280 6.240 6.330 6.220 891,458
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AMCOR LIMITED details

Please note: ASX relies on third parties to provide the information contained in the company details table, and therefore is unable to assume any responsibility for the accuracy or timeliness of the information.
Official Listing Date 28 August, 1969
GICS Industry Group Materials
Exempt Foreign? No
Internet Address http://www.amcor.com/
Registered Office Address 679 Victoria Street , ABBOTSFORD , VIC, AUSTRALIA, 3067
Head Office Telephone 61 3 9226 9000
Head Office Fax 61 3 9226 9050
Share Registry COMPUTERSHARE INVESTOR SERVICES PTY LIMITED
YARRA FALLS , 452 JOHNSTON STREET , ABBOTSFORD , VIC, AUSTRALIA, 3067
Share Registry Telephone 1300 787 171 (BKR ONLY)
Directors / Senior Management
Mr Chris Roberts (Non Exec. Chairman)
Mr Ken MacKenzie (Managing Director, CEO)
Dr Keith Barton (Director)
Mr John Pizzey (Director)
Mr Geoff Tomlinson (Director)
Mr John Thorne (Director)
Mr Ern Pope (Director)
Company Secretary Ms Julie McPherson
Ms Kerrie Lavey (Assist.Co. Secretary)
Principal Activities Major global packaging company with annual sales of approximately A$11 billion, based in Melbourne, Australia, with 242 plants in 40 countries. World's largest producer of PET containers. Amcor has a broad range of plastic, fibre, metal and glass packaging products; PET containers; plastic and metal closures; along with packaging-related services.

03/07/2006 asterix Agrees to 16.67% shareholding in K Laser 1 PDF

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Closing prices

Closing prices are displayed for the last 5 days on which the security traded on ASX within the last 6 months.
Date Last % Change High Low Vol *
14 Aug 2006 6.240 -2.35% 6.310 6.220 3,706,263
11 Aug 2006 6.390 -1.24% 6.500 6.370 2,617,255
10 Aug 2006 6.470 -1.07% 6.570 6.470 2,420,645
09 Aug 2006 6.540 -1.21% 6.610 6.500 1,976,536
08 Aug 2006 6.620 1.53% 6.630 6.530 2,280,527

* Volume of shares shown represents only those shares traded on ASX.
AMCOR LIMITED price history chart

ASX excludes all liability arising out of any inaccuracies in this chart, except where liability is made non-excludable by legislation. Explanation of chart terms.

___________________________

New CEO at Amcor

AMCOR’S Board announces today that it has appointed Ken MacKenzie as its new Chief Executive Officer and Managing Director, effective from July 1, 2005, at which time Chris Roberts will revert to the position of non-executive Chairman.

MacKenzie, a 41 year old Canadian national, has had 13 years experience with Amcor working in all the major operating divisions including PET, flexibles, tobacco packaging and closures.

He has managed businesses across the Americas, Europe, Australasia and Asia and has lived in North America, Australia and Europe.

He is currently the Group Managing Director of the Amcor Rentsch and Closures business, based in Switzerland.

Chris Roberts, Amcor’s Executive Chairman, said: “Ken MacKenzie is a world class executive who fulfils all the key criteria the Board had established.

He has had experience across all our major business segments and understands the packaging industry intimately.

He has had management experience in Europe, Australasia, the Americas and Asia and has an excellent track record in improving earnings and returns in these businesses.

“The selection of the new Managing Director involved a global search and the Amcor Board was pleased with the quality of the external candidates, however it transpired that they could not match Ken MacKenzie as the internal benchmark.”

Amcor’s Managing Director elect, Ken MacKenzie, said: “I am extremely enthusiastic about the opportunity to lead Amcor in this next stage of its development.

“Over the past five years, Amcor has divested its non-core paper based activities and acquired substantial global positions in its chosen market segments.

“With this platform established, it is now appropriate to move from the previous stage of acquisitions and integration to focus on the execution of the key fundamentals that drive excellence in the packaging industry.

“I look forward to working with my fellow Amcor colleagues to create an organisation that is a global packaging leader in terms of product innovation and commercial and operational excellence, that will deliver continuous improvement in earnings and returns for our shareholders.”

Chris Roberts, Amcor’s Executive Chairman, said: “The Board has every confidence that Ken Mackenzie will be an excellent Managing Director through the next stage of the company’s development.”

Ken MacKenzie, who is multilingual and currently living in Zurich, Switzerland, will be relocating to Melbourne with his wife and family over the coming months.

Background Information on Ken MacKenzie’s career

· 2001 to present: Amcor Rentsch and Closures, Group Managing Director Location: Europe 2004; sales A$1 billion 2004 EBIT A$ 100 million Eight tobacco packaging plants and twelve closures plants located throughout Europe, Asia and the Americas.

· 1999 to 2001: Amcor Flexibles Australasia, Group General Manager Location: Australia Eight plants in Australia and New Zealand with sales of over A$300 million.

· 1997 to 1999: Amcor Containers Packaging Australasia General Manager, Corporate Sales and Marketing Location: Australia

· 1995 to 1997: Amcor PET Packaging Director, Finance and Administration Location: North America

· 1992 to 1995: Amcor PET Packaging Director, Engineering and Information Technology Location: North America

· 1987 to 1992: Accenture Management Consultant Location: North America Personal Details Born: Montreal, Canada

· 1964: Married, with two teenage children. Bachelor of Engineering (Mechanical) McGill University, Montreal Interests: Skiing, yachting (Canadian Laser Gold Medallist 1985) Amcor Limited

_______________

AMCOR vs CFMEU

Amcor Limited v Construction Forestry Mining and Energy Union & Ors
09 March 2005

High court allows appeal

This morning the High Court of Australia handed down a unanimous decision regarding redundancy with important implications for employers.

In its decision, the High Court held that Amcor Limited (Amcor) was not required to make redundancy payments under its certified agreement to employees who had been made redundant from one company in the Amcor group, but immediately re-employed by another group company, in the same roles and under the same terms and conditions of employment. The previous decision of the Federal Court was set aside.

It is important to appreciate however that, while unanimously in favour of the employer in this case, the High Court’s decision turned upon the particular wording of Amcor’s certified agreement and the industrial context and legislative backdrop to that agreement.

The decision provides some clarity for employers around the principles which the courts will now consider when determining whether or not an employee has been made redundant. However, the question of whether a particular employee is entitled to redundancy payments under a specified certified agreement will always be a matter of fact and will depend upon the particular circumstances of each case.
Facts

The case arose out of a restructure of the Amcor business, in which its conglomerate packaging and paper operations business was split into two separate parts. Once split in this way, the individual packaging and paper operations businesses continued to function in the same was as they had before.

After the restructure, employees initially employed in the conglomerate business continued to be employed in one of the two new businesses. There was no break in their service; they ceased work for the conglomerate on one day, and immediately commenced work with one of the new ‘split’ businesses the next. Their terms and conditions of employment remained the same after the restructure and they continued to perform exactly the same work as they had when they were employed by the conglomerate.

The particular terms of the certified agreement which applied to Amcor employees (agreement) stated, in effect, that upon redundancy, employees would be entitled to redundancy payments (see text box below). The agreement contained no exemption from the obligation to make the payments where employees were provided with adequate alternative employment or in the case of a transmission of business. In this regard, the particular wording of the agreement played a critical role in determining whether or not the employees were entitled to receive redundancy payments in the circumstances of the restructure.

The CFMEU argued on behalf of these employees that, as their positions within the conglomerate business were no longer required, they were redundant and entitled to receive redundancy payments under Amcor’s certified agreement.

Amcor argued that, in circumstances where the employees had immediately been re-employed, on the same terms and conditions, such a result would be industrially unfair and was not what was intended when the certified agreement was drafted. In particular, Amcor asserted that a redundancy would only arise when a position was abolished and that the identity of the employer of the person occupying that position was irrelevant.
The previous Federal Court decisions

In the Federal Court, Justice Finkelstein at first instance and, on appeal, the Full Court (made up of Justices Moore, Marshall and Merkel), decided that an employee was redundant if a particular employer no longer required them to perform their particular job. It was irrelevant that the employee had secured ongoing employment with a new employer, on the same terms and conditions, even where that new employer was related to the first employer.

The Federal Court decisions exposed Amcor to a substantial redundancy bill, in circumstances where employees continued to be employed by the group without any prejudice to their employment arrangements.
The High Court’s decision

The High Court unanimously found that the Federal Court had reached the wrong conclusion in this matter.

Four separate judgments were handed down.

In each judgment, the judges made it clear that it was necessary to consider the particular redundancy clause of the agreement in context, having regard to:

* other redundancy provisions contained in the agreement
* the words and operation of the agreement as a whole
* the legislative background against which the agreement was made and operated (particularly the transmission of business provisions of the Workplace Relations Act 1996 (Cth) and earlier decisions of the commission’s predecessor about the redundancy).

In combining all of these considerations, the High Court concluded that where the agreement referred to a ‘position’ becoming redundant that term was to be read broadly. In the context of the agreement itself and the legislative framework against which it was made, the reference to ‘position’ must be taken to refer to ‘a position in a business’ or ‘a job’.

The High Court concluded that in the particular circumstances of the case, Amcor was not required to provide redundancy payments to the employees, because their positions were not redundant.

‘ ... the "positions" with which this case is concerned were positions in a business of making and selling paper. None of those positions became redundant. Neither the sale of assets by Amcor nor the later termination of employment by Amcor meant that the work then being undertaken by the employees was no longer required by the company which conducted the business in which the positions existed. The "job" of no employee was redundant. Clause 55.1.1 was not engaged.’
(Gummow, Hayne and Heydon JJ at [57]).

Implications for employers

* While the High Court’s decision was a unanimous one, employers should not take it as establishing a general rule that employers in all situations similar to Amcor will never be required to provide redundancy payments.
* The interpretation of certified agreements will always depend not only upon the broader industrial and legislative context, but principally upon the particular facts and circumstances of the case in question. Indeed, although the decision was unanimous, there was some sympathy for the Federal Court’s decision which was under appeal.
* Whenever there is ambiguity regarding the terms of a redundancy clause in a certified agreement, employers cannot assume that the Amcor decision will mean that the courts will always favour the outcome which results in no liability upon the employer.
* In similar circumstances, a certified agreement which contains wording less clear than that in the Amcor agreement could result in a very different result.
* Despite this, in our view the High Court’s decision (which other courts are now bound to apply) points courts towards applying a more common sense approach to redundancy in the context of corporate restructures and transmissions of business.

Clause 55.1.1 of the Amcor agreement provided:
‘Should a position become redundant and an employee subsequently be retrenched, the employee shall be entitled to the following payments:
(a) All accumulated sick leave credits;
(b) All accumulated annual leave credits;
(c) Pro-rata long service leave if the employee concerned has five or more [years] continuous service with the Company;
(d) Three weeks' pay at the employee's ordinary weekly wage rate for each full year of service and pro-rata for part years provided that this amount does not exceed the amount the employee would have received up to nominal retirement age.’

For more information about this topic please contact any one of the Freehills employee relations partners.

This article provides a summary only of the subject matter covered, without the assumption of a duty of care

Reported by Ver.di

- The closure of the plant could not be prevented. The closure will happen on 31.12.2006.

- We succeeded in trebling the volume of the redundancy programme ("social plan") for the 113 employees concerned.

- The settlement includes a job creation and retraining scheme through a "qualification company". (This is a legal entity in its own right -usually a "GmbH" or limited liability company- founded by the company which is making workers redundant or by an external service provider for the purpose of preserving jobs. Translator´s note).

- The settlement also rules out any punitive measures against the strikers.

Under pressure from the strike, the company´s top management gave in. They had not been prepared for our action. Outsourcing to Switzerland was not a success for the company. Apparently, the products could not be processed in Switzerland. It appears that the talks held in Switzerland were considered highly alarming.

Although it proved impossible to reverse the decision concerning closure, we managed to push through a large package of social integration and occupational retraining measures. In particular, we agreed on a "transfer agency" and "transfer company" for retraining and job-finding purposes. Older employees received redundancy pay to help bridge them over until retirement.

In the name of the workforce of Amcor Flexible, we would like to take the opportunity here to thank you for your support.

Yours fraternally,
Andreas Fröhlich
ver.di National Executive
Department of Media, Arts and Industry
Home address: Paula-Thiede-Ufer 10, 10179 Berlin
Postal address: ver.di, 10112 Berlin
Delivery address: Bona-Peiser-Weg 4, 10179 Berlin
Phone: +49 30 6956-2344
Fax: +49 30 6956-3654
...
____________________________________________________________________________.....

UNI Graphical:
http://www.union-network.org/graphical - Contact: graphical@union-network.org
Union Network International:
http://www.union-network.org - contact@union-network.org

Perhaps now shift to the focus on AMCOR Preston dispute .... here is a sample letetr from recent struggle in Europe

Steve Keogh
Executive Group General Manager
Human Resources and Operating Risk
Amcor Pty ltd.
679 Victoria Street
Abbotsford
Victoria
Australia, 3067

Dear Mr. Steve Keogh,

At a recent International Meeting of Unions who have members in many of Amcor sites across the globe, a report was given about the closure of the Colodense and Hokkien sites.

Of major concern and disappointment to us was the lack of proper consultation with the unions and with the EWC prior to the announcements being made. The manner in which the closure was announced at Colodense left a particularly sour taste among employees who had given many years of loyal service to that plant.

While there is no easy way to deal with closures, we would hope that in the future greater sensitivity is exercised by Amcor should there be further closures.

Sincerely yours,