Transfer Of Business Under The Fair Work Act 2009 (Cth)

Article by Sally Woodward and Jessica Caban

One of the more controversial aspects of the upcoming Fair Work Act 2009 (Cth) (Act) is the proposed changes to the law governing transfer of business (formerly referred to as transmission of business under the Workplace Relations Act 1996 (Cth) (WR Act)) and the implications for companies who participate in such a transfer from 1 July 2009.

The Act makes the following significant changes to the rules that currently govern transfer of business arrangements under the WR Act by:

• introducing a test to determine whether a transfer of business has occurred, which will significantly expand the current test which has developed under case law;