If you`re an employer or employee in Australia, you may have heard about enterprise agreements and awards. These are important terms that refer to legally binding agreements between employers and employees to regulate working conditions and wages.
Enterprise agreements, also known as collective agreements, are contracts negotiated between employers and employees or their unions. These agreements set out terms and conditions of employment, such as work hours, leave entitlements, and pay rates. Enterprise agreements can apply to a particular workplace or group of employees and are legally enforceable.
On the other hand, awards are legal documents that outline minimum wages and conditions for specific industries or occupations. Awards are created and maintained by the Fair Work Commission, an independent body that oversees industrial relations in Australia. Awards apply to all employees in a specific industry or occupation, regardless of whether they are covered by an enterprise agreement or an employment contract.
It`s worth noting that in some cases, enterprise agreements can provide better conditions than the minimum standards set out in awards. This means that employers and employees may choose to negotiate an enterprise agreement that exceeds the minimum requirements outlined in the relevant award.
Enterprise agreements and awards are both important for ensuring fair and equitable working conditions for employees. Employers and employees should be familiar with the relevant award or enterprise agreement that applies to their workplace or industry to ensure that they are meeting their legal obligations. Unfortunately, not all employees are aware of their rights and entitlements under these agreements, which can result in underpayment or mistreatment.
If you`re unsure about your rights and entitlements under an enterprise agreement or award, you should seek advice from a trusted source, such as the Fair Work Ombudsman or a legal professional. By understanding and complying with these agreements, employers and employees can create a fair and safe working environment for all.