Modern Awards Research Articles

Employer and Employer Association Matters in 2010

In 2010 much of the activity in industrial relations for employers and employer associations was focused on transitioning to and complying with the Fair Work Act 2009. The issues identified by employer associations as being of most concern have varied. For many in the services sector, as well as in small businesses in other sectors, the focus has been on the impact of the modern awards; while in industries such as mining, construction and manufacturing, bargaining and agreement-making have been of a higher order of priority. There have been numerous other IR matters also occupying employers’ time, including the proposed amendments to the building industry inspectorate’s powers, which remain in ‘limbo’. Towards the end of the year, serious concerns about the supply of skilled labour arose again, which, together with the enhanced union bargaining capacity provided by the Fair Work Act, suggests that employers may expect more ‘hard bargaining’ in some sectors in 2011.

Modern Awards and Skill Development Through Apprenticeships and Traineeships

AbstractVocational education and training (VET) and industrial relations systems are inherently linked. The Federal Government aims to increase the number of workers with VET qualifications but it is unclear how this policy is being supported through the industrial relations framework, in particular by the new system of modern awards. Research into training outcomes has shown that job-related factors are linked to completion rates among apprentices and trainees. An analysis of a cross-section of relevant modern awards reveals that award modernisation has had a small negative impact on the wage arrangements for apprenticeships. Modern awards continue to provide no recognition for some categories of workers who have undertaken VET qualifications through traineeships.

The ‘New’ Industrial Relations and International Economic Crisis: Australia in 2009

While the sphere of industrial relations was overshadowed by the global financial crisis, 2009 was a year of immense change in the regulation of work and workplaces. Many provisions of the Rudd government’s Fair Work Act 2009, including the new collective bargaining regime, came into effect. Unions and employer organizations were preoccupied with the monumental process of award modernization throughout 2009. The AIRC has ceased to exist and it, along with a number of other regulatory bodies, has been subsumed into the new institution Fair Work Australia. The remaining key provisions of the Fair Work Act 2009, including the NES and modern awards, are effective on January 1 2010. This article analyses the early days of the operation of this ‘new’ Australian industrial relations.

Employer and Employer Association Matters in 2009

For employers 2009 was a year of major regulatory change in industrial relations, requiring them to position themselves in response to these changes. The first part of the Fair Work Act commenced on 1 July and details of the modern awards continued to be released throughout the year. The drive towards a unified national industrial relations system was consolidated legislatively; amendments to the building industry inspectorate’s powers were debated but not concluded; a promise to introduce paid parental leave was put on the table; and regulatory changes occurred in relation to the 457 visa programme, employee share schemes and executive remuneration. These changes were occurring in the context of the global financial crisis, which itself required employers to determine appropriate strategic actions to reduce labour costs and yet retain their workforce for the future. Not surprisingly, concerns about labour shortages abated although there was ongoing recognition that long term labour supply issues were still very real.

Major Tribunal Decisions in 2008

On 28 March 2008 a historic process of award modernization, by which Australia's award system will be fundamentally changed, began. Over 4000 existing federal awards and NAPSAs will be replaced by modern awards created primarily along industry lines, and occasionally along occupational lines. Modern awards will operate from January 2010 and, together with the National Employment Standards, will constitute the safety net under Labor's industrial relations system. This article considers some aspects of the award modernization process and the pivotal role of the AIRC in creating modern awards. This article also considers recent case law dealing with the implied duties to act in good faith and of mutual trust and confidence.

Industrial Legislation in 2008

In March 2008, the Rudd Government started to dismantle Work Choices. The Workplace Relations Amendment (Transition to Forward with Fairness) Act 2008 (Cth) reintroduced agreement-making safeguards, and removed the option of making Australian Workplace Agreements. The legislation also provided the legal framework for the creation of `modern awards', paving the way for the more far-reaching reforms that are outlined in the Fair Work Bill 2008 (Cth). The first section of the article examines these transitional measures. The second section briefly considers the key features of the Fair Work Bill, concluding that its content and relative simplicity are broadly consistent with the promises made by the Government in its pre-election Forward with Fairness policy. Finally, the article highlights some of the legislative developments at the State level in 2008.

INDUSTRIAL LEGISLATION

In March 2008, the Rudd Government started to dismantle Work Choices. The Workplace Relations Amendment (Transition to Forward with Fairness) Act 2008 (Cth) reintroduced agreement-making safeguards, and removed the option of making Australian Workplace Agreements. The legislation also provided the legal framework for the creation of 'modern awards', paving the way for the more far-reaching reforms that are outlined in the Fair Work Bill 2008 (Cth). The first section of the article examines these transitional measures. The second section briefly considers the key features of the Fair Work Bill, concluding that its content and relative simplicity are broadly consistent with the promises made by the Government in its pre-election Forward with Fairness policy. Finally, the article highlights some of the legislative developments at the State level in 2008.