As a general rule, a new enterprise agreement applies to a worker only when a previous enterprise agreement applicable to the worker has exceeded its nominal expiry date. Among the transitional instruments based on the agreement are various collective agreements and collective agreements that could be concluded before July 1, 2009 under the former Labour Relations Act 1996. These include transitional individual contracts (ITEAs) concluded during the “transition period” (July 1, 2009-December 31, 2009). These agreements will continue to function as transitional instruments based on agreements until they are denounced or replaced. An enterprise agreement sets out the minimum conditions of employment between one or more employers and their employees or a group of employees. The agreement may either be isolated from another arbitration decision or may include certain conditions of the parents` price. Before approving an enterprise agreement, the Fair Work Commission must ensure that approval of the agreement would not jeopardize the negotiations of one or more negotiators on a proposed enterprise agreement. The three types of employment contracts that can be entered into are: a bargaining representative is a person or organization that each party to the enterprise contract can appoint to represent it during the negotiation process. Each enterprise agreement must include a concept of flexibility with individual modalities of flexibility. An IFA can be terminated either by a written agreement between the employer and the worker, or by the employer or worker by written notification. Modern rewards require 13 weeks` notice, but this may be different in an enterprise contract (but no more than 28 days). The FWC will apply a strict need-based test, called the “Better Off Overall Test” against an enterprise agreement, to ensure that the worker has not been disadvantaged by the agreement.
Two or more employers who are not employers of single interests may enter into an enterprise agreement with workers employed at the time of the agreement and are covered by the agreement.