For the purposes of the Fair Work Act 2009 an outworker is:
- a contractor who works in the textile, clothing or footwear industry, or
- an employee who, for the purpose of business of his/her employer, that works at residential premises (eg. in their own home) that would not normally be regarded as being business premises.
Minimum workplace conditions for outworkers
From 1 January 2010, the National Employment Standards (NES) replace the non-pay rate provisions of the Australian Fair Pay and Conditions Standard (the Standard).
Employers (in the national system) who engage outworkers MUST provide them the entitlements set out by the National Employment Standards (NES) from 1 January 2010.
In addition they must paying the rate of pay under any relevant modern award or the national minimum wage.
Different conditions for outworkers
Some state laws contain conditions about outworkers, such as letting unions enter an employer's building to look at outworker records. These laws continue to apply. In addition, the Fair Work Act 2009 has special right of entry requirements for textile, clothing and footwear outworkers.
Outworkers & award conditions
Some modern awards and award-based transitional instruments contain special conditions for outworkers. These are called outworker terms.
Outworker conditions cover the following and more:
- chain-of-contracts (eg. where a sub-contractor employs an outworker)
- registering employers who employ outworkers
- employment records
- access to employment records
- work hours, public holidays, leave and more.
Outworkers & enterprise agreement conditions
Where a modern award containing outworker terms covers an employee, in deciding whether or not to approve an enterprise agreement, Fair Work Australia must be satisfied both of the following apply:
- the agreement includes terms dealing with the conditions of outworker employees
- those terms are not detrimental in comparison to the outworker terms in the modern award.
If Fair Work Australia considers that the outworker terms in the agreement are detrimental to the employee, then the agreement will not be approved.
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