When working in NSW, you will be covered by either the NSW state or the federal industrial relations system.  The first thing you need to do is work out which system covers your employment.

Most people employed within the NSW system are covered by either an award or an enterprise agreement. Your employer is required, by law, to make sure a copy of the relevant award or enterprise agreement is on display in your workplace in a position where all workers can easily access it. In some workplaces, more than one award or agreement will need to be displayed.

Your employer can display these documents on their computer system or intranet if all workers have access, know how to find their awards and agreements, and are notified that the documents are there.

If you don’t have access to the computer system or don’t use the computer system very often, your employer must make sure a paper copy of the award or enterprise agreement is also available.

An award sets out the rights and obligations of employers and workers engaged in particular types of work. There are many different types of awards covering different industries and occupations.

Awards cover conditions of employment including:

• hours of work
• pay rates, penalty rates, overtime and other loadings, such as annual leave loading
• allowances, for example, tools or uniform allowances
• leave entitlements
• employment protection provisions, for example, redundancy payments
• part-time or casual work.

How are NSW awards made?

The NSW Industrial Relations Commission makes NSW awards upon application by an employer organisation or worker organisation (union) to create a new or revised award for a particular industry. Awards can also be made to settle industrial disputes.
Award pay rates often increase after each State Wage Case following an application to the Commission by parties to the award. The Commission also updates and reviews awards every three years.

Who is covered by a NSW award?

A NSW award covers all employers and workers in the industry or occupation to which it relates, whether or not they were involved in creating the award. Every award has a section that explains the industry or occupation covered by the award. Information about awards can be found at Awards Online.

What is the difference between state and federal awards?

Employers may be bound by a NSW award or a federal award. Sometimes, both federal and NSW awards can cover workers in different occupations, even at the same workplace. For more information about federal awards contact the Workplace Authority.

If an employer is not covered by a federal award, and in the absence of an enterprise agreement, the employer will be bound by a state award, unless the work performed by the workers is not within the scope of any award. In this case workers are award free.

Check if your employer is covered by a NSW award or a federal award .

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An enterprise agreement, like an award, sets out the rights and obligations of employers and workers engaged in particular types of work in a business.

It may be negotiated between the workers and an employer or between a union on behalf of the workers and the employer.

Enterprise agreements are specific to a particular workplace and may cover additional working conditions than those covered in the award.

An enterprise agreement must comply with all NSW laws regarding employment rights and obligations, such as minimum entitlements to parental, annual and long service leave.

Every enterprise agreement must be in writing and signed by or on behalf of the parties. The parties to the agreement (the workers or their union and the employer) must be named and the agreement must state which workers will be covered by the agreement.

Generally, all agreements must be for a fixed term of between one and three years. However, an agreement continues in force beyond that term until it is cancelled.

How is an enterprise agreement approved?

An application to approve an agreement can be made to the Industrial Registrar of the NSW Industrial Relations Commission. An agreement is not enforceable unless it has been approved by the Commission.

The Commission will approve an enterprise agreement if:

• it complies with all relevant Act requirements
• it does not, on balance, provide a disadvantage to the workers when compared with the award
• the parties understand the effect of the agreement
• the parties are entering into the agreement of their free will
• the agreement does not unfairly exclude some workers.

Do I have to accept an enterprise agreement in my workplace?

You can’t be forced to sign an enterprise agreement. However, where an agreement has been approved by the appropriate union or in a secret ballot of the workers, even if you didn’t vote for the agreement you are still covered by it once the agreement has been approved by the Commission.

As a new worker at the workplace, you will be covered by the existing enterprise agreement, if it applies to the work duties that you will be carrying out.

However, employers are required to notify new workers of the existence of the enterprise agreement and must provide a summary of the agreement.

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