What Are Enterprise Agreements
What is an enterprise agreement (sometimes called EBA)? An enterprise agreement („EA“) is a legislated agreement between an employer and a group of workers that, in its in progress, replaces an applicable industrial premium. There are three types of enterprise agreements: individual companies, multi-company agreements and Green Fields (which may be an individual agreement or agreement with several companies), each of which is discussed below. A Greenfields agreement can be made for a real new business that a single employer or several employers are trying to create or create. This type of enterprise agreement must be concluded at least with a union before employing all persons covered by the agreement. Any union that is a party to the agreement must be able to represent the majority of the workers it covers. However, an enterprise agreement has several potential drawbacks: an employer may have separate enterprise agreements with different categories of workers, the conditions being specially adapted to this group. However, categories of workers must be chosen fairly, taking into account geographical, professional and organizational characteristics. McDonalds is an interesting example of what can be done. In the McDonald`s case (2010), McDonald`s held meetings with staff to explain the new agreement, using a large number of meeting places to encourage participation, including the rental of movie theaters. The union, in agreement with McDonald`s, prepared summaries of the agreement that outlined the differences between the terms of the contract and the current terms.
Staff were allowed to do certification work or access electronic versions and copies on warning signs. Other meetings were organized by the union, during which explanations were given and questions were asked. Staff were also able to contact each state`s human resources department for clarification. The FWC decided that these were appropriate measures to ensure that the declaration was given appropriately, taking into account the needs of workers, including young people. If the parties fail to agree on the terms of a proposed enterprise agreement, a representative of the negotiations may ask the Commission for assistance in fair work. Enterprise negotiations are the process of negotiation in general between employers, workers and their representatives in order to conclude an enterprise agreement. The Fair Work Act 2009 sets out a number of clear rules and obligations on how this process should proceed, including rules on negotiations, the content of business agreements and how an agreement is concluded and approved.