Before you start to make an enterprise agreement, there are several things you need to understand and consider.
What to include in an agreement
An enterprise agreement can include terms about:
- the relationship between you and the employees covered by the agreement
- the relationship between you and the employee organisation(s) (e.g. unions) covered by the agreement
- pay deductions agreed to by an employee
- how the agreement will operate.
Lodging your agreement with Fair Work Australia
Before Fair Work Australia will approve an agreement it must ensure it meets certain requirements and tests.
Requirements include:
- it's genuinely agreed to by the employees covered by it (for non-greenfields agreements)
- if a multi-enterprise agreement, each employer has genuinely agreed to it
- it passes the better off overall test from 1 January 2010 (for agreements made before 1 January 2010 it had to pass the no disadvantage test as it applied to enterprise agreements)
- it covers a group of employees that was fairly chosen
- it doesn't contain unlawful designated outworker terms
- it includes a dispute settlement procedure
- it includes a nominal expiry date of 4 years or less.
Lodge your agreement with FWA