Enterprise Agreement Modern Awards: What You Need to Know as an Employer
As an employer, you must ensure that your employees receive fair and reasonable wages and working conditions. This is where Enterprise Agreement (EA) Modern Awards come into the picture.
What is an Enterprise Agreement Modern Award?
An Enterprise Agreement Modern Award is a type of agreement that sets out the minimum terms and conditions of employment that an employer must provide to their employees. The EA is binding for both the employer and the employees, and it can be made between an employer and a group of employees or an employer and a union.
The EA Modern Award replaces the older system of awards that were in place before 2009. The new system aims to streamline and simplify the system, ensuring that employers can more easily comply with their obligations under the Fair Work Act 2009.
Why is an Enterprise Agreement Modern Award important?
An EA Modern Award is important for both employers and employees. It helps to ensure that employees receive fair wages and working conditions, and it also provides certainty and clarity for employers.
For employers, an EA Modern Award provides a clear framework for ensuring that they are meeting their obligations under the Fair Work Act 2009. This can help to reduce the risk of legal disputes and can also help to promote good relationships between employers and employees.
For employees, an EA Modern Award helps to ensure that they receive fair pay and conditions for their work. The EA also sets out the terms and conditions of employment, providing certainty and clarity for employees.
What is included in an Enterprise Agreement Modern Award?
An EA Modern Award sets out a range of terms and conditions of employment, including:
1. Wages and penalty rates
2. Hours of work and overtime
3. Leave entitlements (including annual leave, sick leave, and parental leave)
5. Consultation and dispute resolution procedures
6. Redundancy provisions
7. Work health and safety requirements
8. Training and development opportunities
How do you create an Enterprise Agreement Modern Award?
To create an EA Modern Award, you will need to:
1. Identify the relevant employees or union that you wish to negotiate with
2. Conduct negotiations with the employees or union to establish the terms and conditions of the EA
3. Have the EA assessed and approved by the Fair Work Commission
4. Give a copy of the approved EA to each affected employee
It is important to note that an EA Modern Award must satisfy certain conditions under the Fair Work Act 2009. This includes ensuring that the terms and conditions of the EA are no less favourable than the terms and conditions that would apply under the relevant industry award.
In conclusion, an Enterprise Agreement Modern Award is an important tool for employers and employees alike. It helps to ensure that employees receive fair and reasonable wages and conditions, while also providing certainty and clarity for employers. As an employer, it is important to understand your obligations under the Fair Work Act 2009 and to ensure that you are meeting those obligations by creating an EA Modern Award that meets all the relevant conditions.