Enterprise BargainingNormally, employers must provide employees with remuneration and working conditions as set dow by relevant Awards. This is law. However, employers and employees can enter into a process of direct negotiation known as Enterprise Bargaining whereby the rates of pay and other conditions of employment can be "varied" from that which is prescribed in an Award. In the negotiation process, employees may call upon the expertise of a 3rd party to assist with negotiation and to represent the interests of the workers. Usually this party will be a Union. The employer is also free to hire a consultant to bring expertise to the bargaining table. A successful negotiation process will result in parties making an application to the Industrial Relations Commission to set up a "Certified Agreement". If the application is successful, employees may receive remuneration and/or working conditions that are different from the Award on one proviso - the "No Disadvantage Test". The No Disadvantage Test is applied by the Industrial Relations Commission and it means that the newly bargained terms and conditions of employment must not make the workers worse off than the Award. That's the theory anyway. However, in reality, the outcome of Enterprise Bargaining is that there is often greater benefit for employers than for employees. Although, employees are often paid more, they are caused to work longer hours, undertake more complex work, and work harder. |
