A2-Awards and Agreements

Question 1

11 National Employment Standards

Answer 1

Table and facts in the book but it not part of study design but it good to know

Question 2

Awards

Answer 2

-a legally binding document determined by the FWC that sets out minimum wages and conditions for whole industries or occupations

Conditions in the Award must be at least as good as set out by the National Employment Standards

Awards are reviewed every 4 years

Question 3

Advantages of awards

Answer 3

-cheaper for the business as they are only providing the minimum

-no need to spend time negotiating- ;ess time negotiating terms since conditions have already been set out by FWC

-Fewer disputes over wages due to no ability to negotiate at enterprise levels

-They provide a safety net for employees, ensuring they cannot receive wages or conditions below

Question 4

Disadvantage of awards

Answer 4

-may be more challeneing to find talented employees

-Less flexibility to tailor the wages and conditions to the needs of the business and employees

-Businesses may need to implement multiple awards

Question 5

Individual Employment Contract

Answer 5

covers those employees who are not under any Award or collective/enterprise agreements

Such contracts may provide conditions that are better than the relevant Award, but cannot exclude any Award condition, or reduce the relevant conditions or benefits unless the employee is guaranteed income over the high income threshold of $153,600

Question 6

Collective/ Enterprise agreement:

Answer 6

an agreement on pay and conditions of work made at the workplace level and negotiated between groups of employees (or represented by their union) and employers

Enterprise bargaining has provided the opportunity for employees to gain employment conditions that improve on the minimum standards of Awards.

Question 7

Advanatges of enterprise bargaining

Answer 7

-Highly flexible- the wages and conditions can be tailored to the needs of the employees and the business
-can attract and retain high-quality employees
-productivity gains can be rewarded with higher wages/improved conditions

Question 8

Disadvantages of collective/enterprise agreement

Answer 8

Time consuming to negotiate and come to an agreement

-Negotiations can break down, increasing the chance of industrial action

-More expensive for the business cuz they perhaps could go out of their budget

Question 9

Similarities of awards and agreements

Answer 9

-both have fixed terms 9usally 4 years for awards, 2-3 years for enterprise agreements)

-both have to contain pay and working conditions equal to or better than the National Employment Standards

-both have to be approved by the FWC

Question 10

Differences of Awards and Agreements

Answer 10

-awards cover employees in an entire industry while enterprise agreements only apply to employees at one workplace

-Enterprise agreements are negotiated directly between employees and employers and are voted on by employees at the workplace, while Awards are determined by the FWC.

-Enterprise agreements contain pay and working conditions better than those in the relevant award overall.