employment contracts (term two) Flashcards
what are employment contracts
Common law contracts cover those employees who are not under any award or enterprise agreements
They are more common among professional and managerial employees
Such contracts are signed individually and are secret, that is, not open to public scrutiny
what are common law contracts (individual)
- for employees who are not under any award or enterprise agreements
- they are signed individually and are secret that is not open to public scrutiny
- under common law employees and employers have basic rights and obligations
types of rights employees and employers have under common law
- wages to be set by an award agreement
- a safe and healthy work place
- a discrimination-free workplace
what are the rights and responsibilities of the employer (common law contract)
- to pay the correct wages
- to ensure a safe working environment
- to not act in a way that may seriously
damage an employee reputation or cause mental distress or humiliation - to pay tax installments to the ATO
- to make appropriate superannuation payments according to legislation 9%
advantages of common law contracts
- Right to sue for compensation if the employment conditions are not met
- Flexibility to suit the varied needs of individuals
- Individual initiative rewarded
disadvantages of common law contracts
- No union representation
- Possible exploitation of employees due to unfair bargaining positions
- Expense of any court case if either party sues for compensation
what is an awards agreement (eg teachers award NSW)
Sets minimum wages and working conditions across all people working in particular industry e.g. retail, education, transport
Award is minimum standard and National Employment Standards apply
Considered ‘safety net’ because no employee in Australia can be paid below award rates
what are the national employment standards (3 examples)
- parental leave and related entitlements
- annual leave
- notice of termination and redundancy pay
advantages of awards
Set a minimum for pay and conditions
Cover all employees performing similar jobs
Simple for employers
Protect employees from exploitation
disadvantage of rewards
Inflexible – may not suit all employees
Prevent recognition of individual initiative
what is an enterprise agreement
Collective agreementsmade at a workplace (enterprise) level between an employer and a group of employees about terms and conditions of employment
They offer broader or different terms and conditions than modern awards, but must still include the minimum employment standards
enterprise agreements can….
Can either replace an award or act as an ‘add on agreement’ to awards
Must comply with NSW laws regarding employment rights and entitlements
Must be in writing and signed by each party
Are usually for a fixed term, however, they remain in force until rescinded
advantages of enterprise agreements
Consultation with and involvement of employees
Possibility of improved pay and conditions
Access to training
Greater flexibility
disadvantages of enterprise agreements
Possibility of undermining of award standards, with some employees worker longer hours
Possibility of job losses
Greater inequity in wage rates between employees
what is a casual contract
Employment that is short term, irregular and uncertain
Not entitled to be pad for holidays or sick leave (on-costs)
Compensated with loading (higher rate of pay per hour)
