What are definitely the Advantages?

Enterprise bargaining is usually a valuable business tool which could encourage a culture of change, flexibility and continuous improvement during the entire workplace. It can be a formal process applied by the Fair Work Ombudsman which permits negotiation about the terms and conditions of employment in businesses.

When considering ways to increase productivity, enterprise bargaining is often a good starting point; increased productivity can offer higher profits to employers reducing priced products or services to the public, higher wages to workers or even more secure and satisfying work.

The practice is specially effective as both employees and employers are viewed equal partners through the negotiation process which truly facilitates the discussion of changes to how efforts are performed in the enterprise agreements. The final outcome will be the creation of an EnterpriseAgreement (EA).

Employers and employees who negotiate an EA are ultimately cooperating in good faith towards reaching a standard goal – long-run workplace productivity. EAs mutually benefit each party by allowing the worker to enjoy more flexible employment stipulations and the employer to try out more efficient and productive workplace conditions. Neither party is obligated to generate an agreement if they’re not towards it; both sides may accept to disagree and if a contract fails to be reached then a original arrangements could possibly be left available.

What are Good Faith Bargaining Rules?

Each employer and employee involved with negotiations will probably be covered through the appropriate union or employer organisation, the nice faith bargaining rules underneath the Fair Work Act include:

· Attending meetings

· Disclosing relevant information

· Responding to proposals created by other bargaining representatives in a very timely manner

· Genuinely and fairly for the suggestions made and giving basis for all responses

When bargaining in good faith isn’t fairly practiced and also the specific requirements already stated are not met, either party may have a ‘bargaining order’ that’s provided by Fair Work Australia. Before this occurs a communication in writing has to be put forward as a way to give the party the chance to respond appropriately and reconsider where did they are approaching the negotiations. The aim of the bargaining order should be to ensure that fairness has practiced and this will set out the steps that happen to be necessary for the enterprise bargaining process to reach a standard agreement.

What could be the Outcome of an EA?

The comes from an enterprise bargaining agreement normally include:

· Flexible hours and rosters

· Broader job classifications

· New training and career opportunities

· Profit sharing or any other forms of performance related pay

· Agreements to accomplish efficiency gains like new production targets or maybe a reduction in wastage

· Improved service delivery to obtain greater client satisfaction

Enterprise bargaining helps facilitate several HR initiatives including family-friendly arrangements, daycare facilities, job sharing, career breaks, improved employee grievances procedures or consulting on workplace issues.

What will be the Legalities?

An EA gets the equivalent legal force in an award as soon as the EA is certified it should take precedence over an award. Once a company bargaining agreement may be set set up, industrial action are not taken until following your agreement’s expiry date. EAs are apt to have a nominal term as much as three years however can nevertheless take effect if your parties linked to the agreement would like this that occur or until a fresh EA is introduced.

Why Should I undertake it?

· Stability: Workplace agreements present you with stability by permitting you to bed along the workplace conditions and wages to your employees for as much as 4 years.

· Simplicity: You can replace layers of compliance and multiple awards, including new Modern Awards, with one, clear and understandable agreement.

· Flexibility: Enterprise Agreements are a lot more flexible than award provisions, therefore you and your workers can negotiate a win-win agreement where your employees are better suited to balance their work/life commitments and you will still fulfil the operational requirements of the business.

· Efficiency: Consolidating rates of pay enables one to predict labour is more expensive easily and offers you the capability to roster more staff at busier times.

· Offset award provisions: Enterprise Agreements offers for aggregate flat rates of pay that incorporate loadings for any selection of penalties and allowances found inside the award. You offers your employees using a range of monetary and non-monetary benefits to offset award provisions.

· Employee benefits: You can offer your employees with greater work and career progression opportunities.

Used to its full capabilities, an EBA can certainly produce a clear route to a productive and harmonious workplace; through good faith bargaining and tweaking excellent lines of communication. EI’s legal team may help in implementing Enterprise Agreements; i was instrumental in implementing the primary small business EA in New South Wales and remain essentially the most trusted source for businesses in Australia.

We be aware that frequent regulatory changes are challenging for employers. EI’s legal team is expert in developing tailored workplace agreements that ensure you’re well positioned to navigate any future adjustments to the law.

We may help you with:

· Drafting and lodging fair EAs tailored for your workplace

· Good faith bargaining

· Representation before Fair Work Australia

· Advice on matters due to changes to mention and federal law