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Enterprise Bargaining in NSW: General Information

General Information about Enterprise Bargaining

Notification of Enterprise Agreements to new employees

When the employer is employing new employees, it is a requirement that the employer give the new employee a copy of the agreement or a summary of the agreement to review before they commence employment. The copy or summary of the agreement must be in a language the person understands.

Variation of an enterprise agreement

Once an enterprise agreement has been approved by the Commission, it may be varied at any time by the approval of a new enterprise agreement. The new agreement must still satisfy the "No Net Detriment" test, and both the award and previous agreement will be used to conduct the test.

It may be necessary to terminate the existing agreement prior to the making of a new agreement. The parties to the further enterprise agreement need not be the same as the parties to the earlier agreement.

There is also a provision within the Industrial Relations Act for an agreement to be varied at any time to remove unlawful discrimination provisions.

Termination of an enterprise agreement

Where the parties to an agreement wish to terminate their enterprise agreement, this may be done at any time, whether during or after its nominal term, by the agreement of all parties. For an enterprise agreement with employees as a party, the proposed termination must be approved by way of a secret ballot with 65% of the current employees covered by the agreement supporting the termination of the agreement.

Once an agreement has ended or reached its nominal term, another option for termination is by any of the parties to the agreement giving 3 mionths' written notice of their intention to terminate the agreement. This notice may be given before the nominal term of the enterprise agreement has been reached, but will not be effective until the nominal expiry date.

Where the employees are a party, and they wish to give the employer 3 months notice to terminate the agreement, the employees covered by the enterprise agreement at the time termination is sought, must vote on the termination by way of a secret ballot, and it must be supported by 65%.

Termination of an enterprise agreement is not effective until the Industrial Registrar has received written notice of the intention to terminate the agreement.