Assisted by Holly Pitt
What is an enterprise agreement?
Simply put, an enterprise agreement is an agreement between an
employer and its employees, which sets out the employment terms and
conditions, in lieu of applicable modern award terms and
conditions.
Enterprise agreements have to be approved by the Fair Work
Commission to make sure that the terms in the agreement place the
employees in a more advantageous position than they would have
otherwise been in, had their employment terms and conditions still
been regulated by the applicable modern award.
What do you need to be aware of?
Prior to an employee and employer commencing negotiations
regarding the terms of an enterprise agreement, employers have a
duty to take reasonable steps to notify all employees of their
right to be represented during the negotiations (for instance, by a
union). Notice must be given to all employees by distributing
what's referred to as the 'Notice of Employee
Representational