Closing dates fast approaching – have your say about the Fair Work Act and Modern Awards

The closing dates for submissions to the Fair Work Act Review and applications to the 2012 Modern Award Review are very quickly approaching. The two reviews are an opportunity to have your say on a wide range of issues relevant to your business and industry.

The submissions and applications are required to be supported by evidence; however it does not mean that either review is focused only on addressing major issues affecting a number of employers/employees rather it is inviting submissions and applications to address practical issues that arise at the workplace level and affect the day-to-day operations of your business.

Fair Work Act Review

The Fair Work Act Review Panel is conducting an evidence based review of all issues arising from the operation of the Fair Work Act, including the impact on interested parties and whether the objectives and the intentions of the Fair Work Act are being achieved. The Fair Work Act Review Panel has invited interested parties including small businesses to make submissions.

There are a number of areas for improvement for interested parties to raise in a public forum:

  • enterprise agreements, bargaining process and industrial disputes
  • adverse action, general protections and unfair dismissal provisions
  • the role of the Fair Work Ombudsman
  • application of existing industrial instruments and the transfer of business provisions.

2012 Modern Award Review

The 2012 Modern Award Review, conducted by Fair Work Australia is an opportunity for both employers affected by Modern Awards and employers operating under enterprise agreements to raise concerns and areas of improvements. These Modern Awards will affect the operation of your business and approval of future Enterprise Agreements under the "Better-off-overall-test".

This Review allows Fair Work Australia to make variations to Modern Awards to address a broad range of issues including:

  • drafting and technical issues such as ambiguity
  • whether it is achieving the Modern Awards Objective which includes criteria such as Modern Awards that are easy to understand, stable and sustainable and promote flexible working practices.

Some of the issues your business may wish to raise include:

  • certain Modern Awards are overly prescriptive, and reduce flexibility and increase costs such as minimum engagement of casuals, overtime and penalty rates
  • the transitioning of minimum wages process resulting in certain higher skilled classifications being paid less than lower skilled classifications
  • the transitioning of minimum wages and penalties are incredibly technical and complex
  • uncertainty as to the principle of off-setting and whether an employer is able to pay an all inclusive rate to cover penalties, loadings and allowances under certain Modern Awards.

Middletons has identified a number of practical problems at the workplace level and is currently engaged in assisting our clients prepare and review their submissions and applications. It is not too late to make a submission to the Fair Work Act Review or an application to the 2012 Modern Award Review. Please contact any of our partners below if you wish to discuss preparing or reviewing a submission or application.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.