WORKPLACE RELATIONS AMENDMENT (TRANSITION TO FORWARD WITH FAIRNESS) BILL 2008

2008

The Parliament of the
Commonwealth of Australia

HOUSE OF REPRESENTATIVES

Presented and read a first time

Workplace Relations Amendment (Transition to Forward with Fairness) Bill 2008

No. , 2008

(Employment and Workplace Relations)

A Bill for an Act to amend the Workplace Relations Act 1996, and for related purposes

Workplace Relations Amendment (Transition to Forward with Fairness) Bill 2008 No. , 2008

Workplace Relations Amendment (Transition to Forward with Fairness) Bill 2008 No. , 2008
Contents

1 Short title 1

2 Commencement 1

3 Schedule(s) 2
Schedule 1--Workplace agreements and the no-disadvantage test 3
Part 1--Main amendments 3
Workplace Relations Act 1996 3
Part 2--Transitional matters 38
Workplace Relations Act 1996 38
Part 3--Other amendments of the Workplace Relations Act 1996 45
Part 4--Amendments of other Acts 84
Airports (Transitional) Act 1996 84
APEC Public Holiday Act 2007 84
Australian Federal Police Act 1979 84
Building and Construction Industry Improvement Act 2005 84
Coal Mining Industry (Long Service Leave Funding) Act 1992 85
Commonwealth Serum Laboratories Act 1961 85
Health Insurance Commission (Reform and Separation of Functions) Act 1997 85
Income Tax Assessment Act 1997 86
Income Tax (Transitional Provisions) Act 1997 86
Long Service Leave (Commonwealth Employees) Act 1976 86
Parliamentary Service Act 1999 86
Public Service Act 1999 86
Skilling Australia's Workforce Act 2005 87
Superannuation Guarantee (Administration) Act 1992 87
Telstra Corporation Act 1991 88
Tradesmen's Rights Regulation Act 1946 88
Schedule 2--Awards 89
Part 1--Award modernisation 89
Workplace Relations Act 1996 89
Part 2--Repeal of award rationalisation and award simplification provisions 105
Workplace Relations Act 1996 105
Schedule 3--Functions of the Australian Fair Pay Commission 108
Workplace Relations Act 1996 108
Schedule 4--Repeal of provisions for Workplace Relations Fact Sheet 116
Workplace Relations Act 1996 116
Schedule 5--Transitional arrangements for existing pre-reform Federal agreements etc. 117
Workplace Relations Act 1996 117
Schedule 6--Notional agreements preserving State awards 120
Workplace Relations Act 1996 120
Schedule 7--Transitionally registered associations 121
Workplace Relations Act 1996 121

Schedule 6 Notional agreements preserving State awards

Transitionally registered associations Schedule 7

Workplace Relations Amendment (Transition to Forward with Fairness) Bill 2008 No. , 2008

Workplace Relations Amendment (Transition to Forward with Fairness) Bill 2008 No. , 2008

Workplace Relations Amendment (Transition to Forward with Fairness) Bill 2008 No. , 2008
A Bill for an Act to amend the Workplace Relations Act 1996, and for related purposes
The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Workplace Relations Amendment (Transition to Forward with Fairness) Act 2008.

2 Commencement

(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

Commencement information

Column 1
Column 2
Column 3

Provision(s)
Commencement
Date/Details

1. Sections 1 to 3 and anything in this Act not elsewhere covered by this table
The day on which this Act receives the Royal Assent.

2. Schedules 1 to 7
A single day to be fixed by Proclamation.

However, if any of the provision(s) do not commence within the period of 6 months beginning on the day on which this Act receives the Royal Assent, they commence on the first day after the end of that period.

Note: This table relates only to the provisions of this Act as originally passed by both Houses of the Parliament and assented to. It will not be expanded to deal with provisions inserted in this Act after assent.

(2) Column 3 of the table contains additional information that is not part of this Act. Information in this column may be added to or edited in any published version of this Act.

3 Schedule(s)

Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1--Workplace agreements and the no-disadvantage test
Part 1--Main amendments
Workplace Relations Act 1996

1 Section 326
Repeal the section, substitute:

326 Individual transitional employment agreements

(1) An employer may make an agreement (an individual transitional employment agreement or ITEA) in writing with a person whose employment will be subject to the agreement.

(2) The agreement is not an ITEA unless:

(a) as at 1 December 2007 the employer employed at least one person whose employment with that employer was regulated by an agreement of a kind specified in subsection (3); and

(b) the person whose employment is to be subject to the ITEA:

(i) did not commence that employment more than 14 days before the day on which the ITEA was made, and had not previously been employed by the employer; or

(ii) is in an employment relationship with the employer and that employment relationship is regulated by an ITEA or an agreement of a kind specified in subsection (3).

Note: Subsection 583(1A) affects the operation of paragraph (2)(b) in the case of a transmission of business.

(3) The kinds of agreements for the purposes of paragraph (2)(a) and subparagraph (2)(b)(ii) are the following:

(a) an AWA within the meaning of Schedule 7A;

(b) a pre-reform AWA;

(d) an employment agreement within the meaning of section 887.

(4) The fact that a period of work performed by a casual employee has ended does not of itself bring an end to the employee's employment relationship with the employer for the purposes of subparagraph (2)(b)(ii).

(5) An ITEA may be made before the commencement of the employment.

2 Division 5A of Part 8
Repeal the Division, substitute:

Division 5A--The no-disadvantage test
Subdivision A--Preliminary

346B Definitions

(1) In this Division:

designated award, for an employee or employees whose employment is or may be subject to a workplace agreement, means an award determined by the Workplace Authority Director under section 346H, and includes an award taken to be so designated in relation to the employee or employees under section 346G (unless a different award has been designated in relation to the employee or employees under section 346H).

industrial instrument means any of the following:

(a) a pre-reform AWA;

(b) a pre-reform certified agreement (within the meaning of Schedule 7);

(d) a section 170MX award (within the meaning of Schedule 7);

(e) an old IR agreement (within the meaning of Schedule 7);

(f) a preserved State agreement.

reference instrument has the meaning given by subsection 346E(1).

relevant collective instrument has the meaning given by subsection 346E(2).

relevant general instrument has the meaning given by subsection 346E(4).

(2) Unless the contrary intention appears, this Division (other than sections 346K and 346L and Subdivision D) applies to a workplace agreement as varied under Division 8 in a corresponding way to the way in which it applies to a workplace agreement.

346C Application of Division to workplace agreements

(1) The obligations imposed on the Workplace Authority Director by this Division in relation to a workplace agreement apply irrespective of whether the workplace agreement is yet to operate, is in operation or has ceased to operate.

(2) For the purposes of applying this Division to a workplace agreement that has ceased to operate:

(a) a reference to an employee whose employment is subject to the workplace agreement is taken to include a reference to an employee whose employment was at any time subject to the workplace agreement; and

(b) a reference to a person or organisation who is bound by the workplace agreement is taken to include a reference to a person or organisation who was at any time bound by the workplace agreement.

(3) For the purposes of applying this Division to a workplace agreement, a reference to an employee whose employment is subject to the workplace agreement is taken to include a reference to a person whose employment may at a future time be subject to the workplace agreement.

Subdivision B--The no-disadvantage test

346D When does an agreement pass the no-disadvantage test?

(1) An ITEA passes the no-disadvantage test if the Workplace Authority Director is satisfied that the ITEA does not result, or would not result, on balance, in a reduction in the employee's overall terms and conditions of employment under any reference instrument relating to the employee.

(2) A collective agreement passes the no-disadvantage test if the Workplace Authority Director is satisfied that the agreement does not result, or would not result, on balance, in a reduction in the overall terms and conditions of employment of the employees under any reference instrument relating to one or more of the employees.

(3) An employee collective agreement or a union collective agreement is taken to pass the no-disadvantage test if:

(a) it does not meet the requirements of subsection (2); but

(b) the Workplace Authority Director is satisfied that, because of exceptional circumstances, approval of the agreement would not be contrary to the public interest.

(4) An example of a case where the Workplace Authority Director may be satisfied that the requirements in paragraph (3)(b) are met is where making the agreement is part of a reasonable strategy to deal with a short-term crisis in, and to assist in the revival of, the employer's business.

(5) If the Workplace Authority Director decides under subsection (3) that an agreement is taken to pass the no-disadvantage test, the Workplace Authority Director must publish his or her reasons for the decision on the Workplace Authority's website.

(6) An ITEA is taken to pass the no-disadvantage test if there is no reference instrument in relation to the employee whose employment is subject to the agreement.

(7) A collective agreement is taken to pass the no-disadvantage test if there is no reference instrument in relation to any of the employees whose employment is subject to the agreement.

Note 1: In addition to the no-disadvantage test, the Australian Fair Pay and Conditions Standard prevails over a workplace agreement to the extent to which the Australian Fair Pay and Conditions Standard provides a more favourable outcome for the employee or employees--see section 172.

Note 2: This section applies to a workplace agreement as varied under Division 8 in a corresponding way to the way in which it applies to a workplace agreement--see subsection 346B(2).

Note 3: See subsection 346J(1) for how the Workplace Authority Director makes decisions under this section.

346E Reference instruments etc.

(1) A reference instrument is:

(a) in relation to an employee whose employment is subject to an ITEA:

(i) any relevant collective instrument; or

(ii) any relevant collective instrument and any relevant general instrument, to the extent that the instruments operate concurrently; or

(iii) if there is no relevant collective instrument--any relevant general instrument; or

(iv) if there is no relevant collective instrument or relevant general instrument--any designated award;

for the employee; or

(b) in relation to employees whose employment is subject to a collective agreement:

(i) any relevant general instrument; or

(ii) if there is no relevant general instrument--any designated award;

for one or more of the employees.

(2) A relevant collective instrument, for an employee whose employment is subject to a workplace agreement, is an instrument of a kind specified in subsection (3):

(a) that regulates, or would but for an ITEA, pre-reform AWA or AWA (within the meaning of Schedule 7A) having come into operation regulate, any term or condition of employment of persons engaged in the same kind of work as that performed or to be performed by the employee under the workplace agreement; and

(b) that was binding, or would but for an ITEA, pre-reform AWA or AWA (within the meaning of Schedule 7A) having come into operation have been binding, on the employee's employer immediately before the day on which the workplace agreement was lodged.

(3) The kinds of instruments for the purposes of subsection (2) are any of the following:

(a) a collective agreement;

(b) a pre-reform certified agreement (within the meaning of Schedule 7);

(d) a preserved collective State agreement (within the meaning of Schedule 8);

(e) a workplace determination;

(f) a section 170MX award (within the meaning of Schedule 7).

(4) A relevant general instrument, for an employee whose employment is subject to a workplace agreement, is an instrument of a kind specified in subsection (5):

(a) that regulates, or would but for a workplace agreement or another industrial instrument having come into operation regulate, any term or condition of employment of persons engaged in the same kind of work as that performed or to be performed by the employee under the workplace agreement; and

(b) that was binding, or would but for a workplace agreement or another industrial instrument having come into operation have been binding, on the employee's employer immediately before the day on which the workplace agreement was lodged.

(5) The kinds of instruments for the purposes of subsection (4) are any of the following:

(a) an award;

(b) a common rule in operation under Schedule 6;

(d) a transitional award (within the meaning of Schedule 6), other than a Victorian reference award (within the meaning of that Schedule), to the extent that the award regulates excluded employers in respect of the employment of employees in Victoria;

(e) a notional agreement preserving State awards (within the meaning of Schedule 8).

346F Agreements to be tested as at lodgment date

(1) In deciding whether a workplace agreement passes, or does not pass, the no-disadvantage test, the Workplace Authority Director must consider it as in existence or operation (as the case may be) immediately after lodgment.

(2) In deciding whether a workplace agreement as varied passes, or does not pass, the no-disadvantage test, the Workplace Authority Director must consider it as in existence or operation (as the case may be) immediately after the variation was lodged.

(3) If a variation to a workplace agreement is lodged before the Workplace Authority Director has decided whether the agreement passes the no-disadvantage test under section 346D:

(a) the Workplace Authority Director must consider the workplace agreement and the workplace agreement as varied as part of the same process; and

(b) to avoid doubt, the Workplace Authority Director must consider, and make a separate decision in respect of, both the workplace agreement and the workplace agreement as varied.

(4) For the purposes of applying subsection 346D(1) or (2), assume that the employment relationship of the employee or employees referred to in either of those subsections was in existence immediately before the day on which the ITEA or collective agreement was lodged.

346G Designated awards--before a workplace agreement or variation is lodged

(1) The Workplace Authority Director may, on application by an employer, determine that an award is a designated award for an employee or class of employees of the employer.

(2) The Workplace Authority Director may make a determination under this section only if the Workplace Authority Director is satisfied that:

(a) the employee or employees are or may be employed in an industry or occupation in which the terms and conditions of the kind of work performed or to be performed by the employee or employees:

(i) are usually regulated by an award; or

(ii) would, but for a workplace agreement or another industrial instrument having come into operation, usually be regulated by an award; and

(b) unless there is a designated award for the employee or employees, there would be no reference instrument relating to the employee or employees; and

(3) For the purposes of paragraph (2)(a), an industry or occupation in which the terms and conditions of the kind of work performed or to be performed by an employee are usually regulated by an award is taken to include an industry or occupation in which the terms and conditions of the kind of work performed or to be performed by the employee:

(a) were, immediately before the reform commencement, usually regulated by any of the following instruments:

(i) a State award;

(ii) a transitional Victorian reference award (within the meaning of Part 7 of Schedule 6);

(iii) a common rule in operation under Schedule 6;

(iv) a transitional award (within the meaning of Schedule 6) other than a Victorian reference award (within the meaning of that Schedule), to the extent that the award regulates excluded employers in respect of the employment of employees in Victoria; or

(b) would, but for an industrial instrument or a State employment agreement having come into operation, usually have been so regulated immediately before the reform commencement.

(4) An award or awards determined by the Workplace Authority Director under this section:

(a) must be an award or awards regulating, or that would, but for a workplace agreement or another industrial instrument having come into operation, regulate, terms or conditions of employment of employees engaged in the same kind of work as the work performed or to be performed by the employee or employees; and

(b) must, in the opinion of the Workplace Authority Director, be an award or awards that would be appropriate for the purpose referred to in paragraph 346H(3)(b) if a workplace agreement or a variation of a workplace agreement were lodged; and

(c) must not be an award that regulates a term or condition of employment of an employee or employees by an employer in a single business specified in the award.

(5) An award determined under this section in relation to an employee or employees is taken to be the designated award determined by the Workplace Authority Director under section 346H in relation to the employee or employees if the employer later lodges a workplace agreement, or a variation of a workplace agreement, in relation to the employee or the employees.

(6) Despite subsection (5), the Workplace Authority Director may determine under section 346H that another award is a designated award in relation to the employee, or in relation to some or all of the employees, if:

(a) the Workplace Authority Director becomes aware of information that was not available to the Workplace Authority Director at the time of the determination under subsection (1); and

(b) the Workplace Authority Director is satisfied that, had that information been available to the Workplace Authority Director at that time, the Workplace Authority Director would have determined under subsection (1) the other award to be the designated award.

(7) The Workplace Authority Director may determine different awards under subsection (1) in relation to different employees.

(8) In this section, a reference to an employee or employees of an employer includes a reference to a person or persons who may become an employee or employees of the employer.

(9) A determination made under this section is not a legislative instrument.

346H Designated awards--after a workplace agreement or variation is lodged

(1) This section applies to a workplace agreement if:

(a) in the case of an ITEA--there is no relevant collective instrument or no relevant general instrument in relation to the employee whose employment is subject to the ITEA; or

(b) in the case of a collective agreement--there is no relevant general instrument in relation to an employee or class of employees whose employment is subject to the collective agreement; or

(i) if the workplace agreement is an ITEA--there is no relevant collective instrument or no relevant general instrument in relation to the employee whose employment is subject to the ITEA as varied; or

(ii) if the workplace agreement is a collective agreement--there is no relevant general instrument in relation to an employee or class of employees whose employment is subject to the collective agreement as varied.

(2) The Workplace Authority Director must, unless the Workplace Authority Director is satisfied that there is no award that satisfies the requirements specified in subsection (3), determine that an award is a designated award for the employee or employees referred to in subsection (1).

(3) An award or awards determined by the Workplace Authority Director under this section:

(a) must be an award or awards regulating, or that would, but for a workplace agreement or another industrial instrument having come into operation, regulate, terms or conditions of employment of employees engaged in the same kind of work as the work performed by the employee or employees under the workplace agreement concerned; and

(b) must, in the opinion of the Workplace Authority Director, be appropriate for the purpose of deciding whether a workplace agreement, or a workplace agreement as varied, passes the no-disadvantage test; and

(c) must not be an award that regulates a term or condition of employment of an employee or employees by an employer in a single business specified in the award.

(4) The Workplace Authority Director may determine different awards under subsection (2) in relation to different employees.

(5) A determination made under this section is not a legislative instrument.

346J Matters taken into account when testing agreement etc.

(1) In deciding under section 346D, 346Q or 346Z whether a workplace agreement, or a workplace agreement as varied, passes, or does not pass, the no-disadvantage test, the Workplace Authority Director:

(a) must have regard to the work obligations of the employee or employees under the workplace agreement; and

(b) may inform himself or herself in any way he or she considers appropriate including (but not limited to) contacting any of the following:

(i) the employer;

(ii) the employee, or some or all of the employees, whose employment is subject to the workplace agreement;

(iii) a bargaining agent in relation to the agreement;

(iv) in the case of a union collective agreement or a union greenfields agreement--the organisation or organisations bound by the agreement.

(2) In deciding whether to determine that an award is a designated award in relation to an employee or employees of an employer, the Workplace Authority Director may inform himself or herself in any way he or she considers appropriate including (but not limited to) contacting any of the following:

(a) the employer;

(b) the employee or employees;

(d) if the determination would be made under section 346H in relation to a union collective agreement or a union greenfields agreement--the organisation or organisations bound by the agreement.

Subdivision C--Agreements that operate from approval, and variations of agreements

346K Application of this Subdivision

(1) This Subdivision applies to a workplace agreement that is:

(a) an ITEA to which subparagraph 326(2)(b)(ii) applies; or

(b) an employee collective agreement; or

(d) a multiple-business agreement that would be an employee collective agreement or a union collective agreement but for subsection 331(1).

(2) This Subdivision also applies to any variation of a workplace agreement under Division 8.

346L Applying the no-disadvantage test

(1) If a workplace agreement to which this Subdivision applies is lodged with the Workplace Authority Director under Division 5, the Workplace Authority Director must decide under section 346D whether the agreement passes the no-disadvantage test.

(2) If a variation of a workplace agreement under Division 8 is lodged with the Workplace Authority Director under that Division, the Workplace Authority Director must decide under section 346D whether the agreement as varied passes the no-disadvantage test.

346M Workplace Authority Director must notify of decision

(1) If the Workplace Authority Director decides under section 346D that the agreement passes the no-disadvantage test, then:

(a) the Workplace Authority Director must notify the following of the decision:

(i) the employer in relation to the agreement;

(ii) if the agreement is an ITEA--the employee whose employment is subject to the ITEA;

(iii) if the agreement is a union collective agreement or a multiple-business agreement that would be a union collective agreement but for subsection 331(1)--the organisation or organisations bound by the agreement; and

(b) the notice must also state that the agreement comes into operation on the seventh day after the date of issue specified in the notice.

(2) If the Workplace Authority Director decides under section 346D that the agreement does not pass the no-disadvantage test, then:

(a) the Workplace Authority Director must notify the following of the decision:

(i) the employer in relation to the agreement;

(ii) if the agreement is an ITEA--the employee whose employment is subject to the ITEA;

(b) the notice must also:

(i) state that the agreement has not come into operation because it does not pass the no-disadvantage test; and

(ii) contain advice as to how the agreement could be varied to pass the no-disadvantage test.

(3) If subsection 346F(3) requires the Workplace Authority Director to consider, and make a separate decision in respect of, both a workplace agreement and the workplace agreement as varied, the notice under this section must deal with both agreements.

(4) A notice under this section:

(a) must be in writing; and

(b) must specify the date of issue of the notice.

Note: Section 346ZH requires the employer to inform the employees concerned of the contents of the notice in relation to a collective agreement.

346N Agreement does not pass no-disadvantage test

(1) If the Workplace Authority Director decides under section 346D that the agreement does not pass the no-disadvantage test, the employer who is bound by the agreement may lodge a variation of the agreement with the Workplace Authority Director.

(2) For the purposes of subsection (1), Division 8 does not apply to the variation of an agreement, except for the following provisions:

(a) subsection 373(1);

(b) section 374.

346P Lodging of variation documents with the Workplace Authority Director

(1) An employer lodges a variation with the Workplace Authority Director under section 346N if:

(a) the employer lodges a declaration under subsection (2); and

(b) a copy of the variation is annexed to the declaration.

(2) An employer lodges a declaration with the Workplace Authority Director if:

(a) the employer gives it to the Workplace Authority Director; and

(b) it meets the form requirements mentioned in subsection (3).

Note: Sections 137.1 and 137.2 of the Criminal Code create offences for providing false or misleading information or documents.

(3) The Workplace Authority Director may, by notice published in the Gazette, set out requirements for the form of a declaration for the purposes of paragraph (2)(b).

(4) A declaration is given to the Workplace Authority Director for the purposes of subsection (2) only if the declaration is actually received by the Workplace Authority Director.

Note: This means that section 29 of the Acts Interpretation Act 1901 (to the extent that it deals with the time of service of documents) and section 160 of the Evidence Act 1995 do not apply to lodgment of a declaration.

346Q Workplace Authority Director must test varied agreement

(1) If an employer lodges a variation of a workplace agreement under section 346N, the Workplace Authority Director must decide under this section whether the workplace agreement as varied passes the no-disadvantage test set out in section 346D.

(2) If the Workplace Authority Director decides under subsection (1) that a workplace agreement as varied passes the no-disadvantage test, or that it does not pass the no-disadvantage test, the Workplace Authority Director must notify the following of the decision:

(a) the employer in relation to the workplace agreement;

(b) if the workplace agreement is an ITEA--the employee whose employment is subject to the ITEA;

(c) if the agreement is a union collective agreement, or a multiple-business agreement that would be a union collective agreement but for subsection 331(1)--the organisation or organisations bound by the agreement.

(3) The notice must be in writing and must specify:

(a) the date of issue of the notice; and

(b) if the workplace agreement as varied passes the no-disadvantage test--that the agreement as varied will come into operation on the seventh day after the date of issue specified in the notice; and

(c) if the workplace agreement as varied does not pass the no-disadvantage test--that the agreement has not come into operation because it does not pass the no-disadvantage test.

Note 1: Section 346ZH requires the employer to inform the employees concerned of the contents of the notice under this section in relation to a collective agreement.

Note 2: See subsection 346J(1) for how the Workplace Authority Director makes decisions under this section.

346R Operation of section 346N variations

If:

(a) an employer lodges a variation of a workplace agreement under section 346N; and

(b) the Workplace Authority Director decides under subsection 346Q(1) that the agreement as varied passes the no-disadvantage test set out in section 346D;
the agreement as varied comes into operation on the seventh day after the date of issue specified in the notice under section 346Q that advises the agreement as varied passes the no-disadvantage test.

Subdivision D--Agreements that operate from lodgment

346S Application of this Subdivision

This Subdivision applies to a workplace agreement that is:

(a) an ITEA to which subparagraph 326(2)(b)(i) applies; or

(b) a union greenfields agreement; or

(d) a multiple-business agreement that would be a union greenfields agreement or an employer greenfields agreement but for subsection 331(1).

Note: Subdivision C, and not this Subdivision, will apply to a variation of any of these workplace agreements under Division 8.

346T Applying the no-disadvantage test

If a workplace agreement to which this Subdivision applies is lodged with the Workplace Authority Director under Division 5, the Workplace Authority Director must decide under section 346D whether the agreement passes the no-disadvantage test.

346U Workplace Authority Director must notify of decision

(1) If the Workplace Authority Director decides under section 346D that the agreement passes the no-disadvantage test the Workplace Authority Director must notify the following of the decision:

(a) the employer in relation to the agreement;

(b) if the agreement is an ITEA--the employee whose employment is subject to the ITEA;

(c) if the agreement is a union greenfields agreement or a multiple-business agreement that would be a union greenfields agreement but for subsection 331(1)--the organisation or organisations bound by the agreement.

(2) If the Workplace Authority Director decides under section 346D that the agreement does not pass the no-disadvantage test, then:

(a) the Workplace Authority Director must notify the following of the decision:

(i) the employer in relation to the agreement;

(ii) if the agreement is an ITEA--the employee whose employment is subject to the ITEA;

(iii) if the agreement is a union greenfields agreement or a multiple-business agreement that would be a union greenfields agreement but for subsection 331(1)--the organisation or organisations bound by the agreement; and

(b) the notice must also contain advice as to how the agreement could be varied to pass the no-disadvantage test.

(4) A notice under this section:

(a) must be in writing; and

(b) must specify the date of issue of the notice.

Note: Section 346ZH requires the employer to inform the employees concerned of the contents of the notice in relation to a collective agreement.

346V Agreement does not pass no-disadvantage test--agreement not in operation

If:

(a) the Workplace Authority Director decides under section 346D that the agreement does not pass the no-disadvantage test; and

(b) the agreement is not in operation in relation to any employee immediately before the date of the decision;
the employee or employees whose employment was at any time subject to the agreement are, on and from the seventh day after the date of issue specified in the notice under section 346U in relation to the agreement, entitled to any compensation payable to the employee or employees under section 346ZG.

346W Agreement does not pass no-disadvantage test--agreement in operation

(1) This section applies if:

(a) the Workplace Authority Director decides under section 346D that the agreement does not pass the no-disadvantage test; and

(b) the agreement is in operation immediately before the date of the decision.

(2) The employer who is bound by the agreement may:

(a) lodge a variation of the agreement with the Workplace Authority Director; or

(b) in the case of an employer greenfields agreement--lodge a variation of the agreement by giving to the Workplace Authority Director a written undertaking in relation to the agreement.

(3) If the employer does not take the action referred to in subsection (2) within the relevant period in relation to the agreement, then at the end of that period:

(a) the workplace agreement ceases to operate; and

(b) the employee or employees whose employment was at any time subject to the agreement are, after the end of the relevant period in relation to the agreement, entitled to any compensation payable to the employee or employees under section 346ZG.

(4) Despite subsection (3), if:

(a) because of subsection 346F(3), the Workplace Authority Director considered, and made a separate decision in respect of, both the workplace agreement and the workplace agreement as varied; and

(b) the agreement did not pass the no-disadvantage test, but the agreement as varied passed the no-disadvantage test;
the agreement as varied continues in operation, and the employee or employees whose employment was at any time subject to the agreement, whether before or after the variation was lodged, are, after the end of the relevant period in relation to the agreement, entitled to any compensation payable to the employee or employees under section 346ZG.

(5) For the purposes of paragraph (2)(a), Division 8 does not apply to the variation of an agreement, except for the following provisions:

(a) subsection 373(1);

(b) section 374.

(6) For the purposes of paragraph 2(b), Division 8 does not apply to an undertaking given to the Workplace Authority Director in relation to an employer greenfields agreement.

(7) In this section:

relevant period, in relation to a workplace agreement, means:

(a) the period of 30 days beginning on the seventh day after the date of issue specified in the notice under section 346U in relation to the workplace agreement; or

(b) if a longer period is prescribed by the regulations for the purposes of this paragraph--that period; or

(c) if the period referred to in paragraph (a) or (b) is extended under subsection (8) in relation to the workplace agreement--the period as extended.

(8) The Workplace Authority Director may extend the period referred to in paragraph (7)(a) or (b), as the case requires, in relation to a particular workplace agreement in circumstances prescribed by the regulations.

346X Lodging of variation documents with the Workplace Authority Director

(1) An employer lodges a variation with, or gives an undertaking to, the Workplace Authority Director under section 346W if:

(a) the employer lodges a declaration under subsection (2); and

(b) a copy of the variation or undertaking is annexed to the declaration.

(2) An employer lodges a declaration with the Workplace Authority Director if:

(a) the employer gives it to the Workplace Authority Director; and

(b) it meets the form requirements mentioned in subsection (3).

Note: Sections 137.1 and 137.2 of the Criminal Code create offences for providing false or misleading information or documents.

(3) The Workplace Authority Director may, by notice published in the Gazette, set out requirements for the form of a declaration for the purposes of paragraph (2)(b). The requirements may be different for variations and undertakings.

(4) A declaration is given to the Workplace Authority Director for the purposes of subsection (2) only if the declaration is actually received by the Workplace Authority Director.

346Y Operation of section 346W variations

(1) A variation of an agreement under paragraph 346W(2)(a) comes into operation when the variation is lodged with the Workplace Authority Director under that subsection in accordance with section 346X.

(2) A variation of an employer greenfields agreement by way of an undertaking under paragraph 346W(2)(b) comes into operation when the undertaking is given to the Workplace Authority Director under that paragraph in accordance with section 346X.

(3) For the purposes of this Act, an undertaking given by an employer to the Workplace Authority Director under paragraph 346W(2)(b) in relation to an employer greenfields agreement is taken to be a variation of the agreement lodged by the employer under section 346W.

346Z Workplace Authority Director must test varied agreement

(1) If an employer lodges a variation of a workplace agreement under section 346W, the Workplace Authority Director must decide under this section whether the workplace agreement as varied passes the no-disadvantage test set out in section 346D.

Note: See subsection 346J(1) for how the Workplace Authority Director makes decisions under this section.

(a) the employer in relation to the workplace agreement;

(b) if the workplace agreement is an ITEA--the employee whose employment is subject to the ITEA;

(c) if the agreement is a union greenfields agreement, or a multiple-business agreement that would be a union greenfields agreement but for subsection 331(1)--the organisation or organisations bound by the agreement.

(3) The notice must be in writing and must specify:

(a) the date of issue of the notice; and

(b) if the workplace agreement as varied passes the no-disadvantage test:

(i) that the workplace agreement continues in operation; and

(ii) that the workplace agreement was varied by way of a variation or a written undertaking, as the case may be; and

(iii) that the employee or employees whose employment is, or was at any time, subject to the workplace agreement are, on and from the seventh day after the date of issue specified in the notice, entitled to any compensation payable to the employee or employees under section 346ZG; and

(i) that, if the workplace agreement was in operation immediately before the seventh day after the date of issue specified in the notice--the agreement ceases to operate on that day; and

(ii) that the employee or employees whose employment was at any time subject to the workplace agreement are, on and from that day, entitled to any compensation payable to the employee or employees under section 346ZG.

Note: Section 346ZH requires the employer to inform the employees concerned of the contents of the notice under this section in relation to a collective agreement.

346ZA Effect of decision on no-disadvantage test

(1) If the Workplace Authority Director decides under subsection 346Z(1) that a workplace agreement as varied passes, or does not pass, the no-disadvantage test:

(a) if the workplace agreement passes the no-disadvantage test--it continues in operation; and

(b) if the workplace agreement does not pass the no-disadvantage test--it ceases to operate on and from the seventh day after the date of issue specified in the notice under section 346Z in respect of the workplace agreement; and

(c) the employee or employees whose employment is, or was at any time, subject to the agreement are, on and from that day, entitled to any compensation payable to the employee or employees under section 346ZG.

Note: Even though the workplace agreement has been varied so that it passes the no-disadvantage test, compensation may be payable in respect of the period when the agreement did not pass the no-disadvantage test.

(2) Paragraphs (1)(a) and (b) do not apply if the workplace agreement is not in operation in relation to any employee immediately before the date of the decision.

346ZB Employment arrangements that apply if a workplace agreement ceases to operate because it does not pass no-disadvantage test

(1) This section applies if, on a particular day (the cessation day), a workplace agreement (the original agreement) ceases to operate under section 346W or 346ZA because the original agreement does not pass the no-disadvantage test.

(2) The employer and the employee or employees who were bound by the original agreement immediately before the cessation day are taken, on and from the cessation day, to be bound by:

(a) the instrument or instruments that, but for the original agreement having come into operation, would have bound the employer and the employee or employees on and from the cessation day; or

(b) if there is no instrument of a kind referred to in paragraph (a) in relation to the employer and one or more of the employees--the designated award in relation to that employee or those employees.

Note 1: A workplace agreement binds all persons whose employment is, at any time when the agreement is in operation, subject to the agreement (see paragraph 351(b)). A collective agreement may therefore bind an employer in relation to existing and future employees.

Note 2: See section 601D for the employment arrangements that would apply in a transmission of business context.

(3) If the original agreement is a workplace agreement as varied under Division 8, the workplace agreement as in force before the variation was lodged is, despite section 346ZE, capable of being an instrument described in paragraph (2)(a).

(4) An instrument that has ceased to operate in relation to an employee or employees is capable of being an instrument described in paragraph (2)(a) only if the reason it ceased to operate was because the original agreement came into operation in relation to the employee or employees.

(5) In this section:

instrument means any of the following:

(a) a workplace agreement;

(b) an award;

(d) an employment agreement within the meaning of section 887;

(e) a pre-reform certified agreement (within the meaning of Schedule 7);

(f) a common rule continued in operation under Schedule 6;

(g) a transitional Victorian reference award (within the meaning of Part 7 of Schedule 6);

(h) a transitional award (within the meaning of Schedule 6) other than a Victorian reference award (within the meaning of that Schedule) to the extent that the award regulates excluded employers in respect of the employment of employees in Victoria;

(i) a section 170MX award (within the meaning of Schedule 7);

(j) an old IR agreement (within the meaning of Schedule 7);

(k) a preserved State agreement (within the meaning of Schedule 8);

(l) a notional agreement preserving State awards (within the meaning of Schedule 8).

346ZC Effect of section 346ZB in relation to instruments

If, because of the operation of section 346ZB, an employer and an employee or employees, as the case requires, are taken to be bound by an instrument, the instrument is taken, despite any other provision of this Act, to operate again, or to have effect again, as the case requires, in relation to the employer and the employee or employees, on and from the cessation day.

Note 1: The following provisions operate in a similar way for other instruments:

(a) subclause 3(5A) of Schedule 7 (pre-reform certified agreements);
(b) subclause 25(4) of Schedule 7 (section 170MX awards);
(c) subclause 28(5) of Schedule 7 (old IR agreements).

Note 2: An award has no effect in relation to an employee while a workplace agreement operates in relation to the employee (see section 349), but once the workplace agreement has ceased to operate, the award is capable of operating again.

346ZD Redundancy provisions and section 394 undertakings

(2) If, immediately before the day on which the original agreement was lodged, the employer was bound, under a designated provision relating to the agreement, by a redundancy provision in relation to an employee whose employment was subject to the original agreement, the employer is taken:

(a) to be bound, under the designated provision, by the redundancy provision in relation to the employee on and from the cessation day; and

(b) to continue to be so bound until the earliest of the following:

(i) the end of the period of 24 months beginning on the first day on which the employer became bound, under the designated provision, by the redundancy provision;

(ii) the time when the employee ceases to be employed by the employer;

(iii) the time when another workplace agreement comes into operation in relation to the employee and the employer.

(3) If, immediately before the day on which the original agreement was lodged, the employer was bound by an undertaking under subsection 394(1) in relation to an employee whose employment was subject to the original agreement, the employer is taken:

(a) to be bound under section 394 by the undertaking in relation to the employee on and from the cessation day; and

(b) to continue to be so bound until the earlier of the following:

(i) the time when the employee ceases to be employed by the employer;

(ii) the time when another workplace agreement comes into operation in relation to the employee and the employer.

(4) In this section:

designated provision, in relation to a workplace agreement, means any of the following:

(a) section 399A;

(b) clause 6A of Schedule 7;

(d) clause 21A of Schedule 8;

(e) clause 21D of Schedule 8;
that, after the agreement is terminated, continues the effect of a redundancy provision that was included in the agreement.

redundancy provision means a redundancy provision within the meaning of any of the following:

(a) section 399A;

(b) clause 6A of Schedule 7;

(d) clause 21A of Schedule 8;

(e) clause 21D of Schedule 8.

346ZE Operation of workplace agreements

A workplace agreement that has ceased to operate because it does not pass the no-disadvantage test can never operate again.

Note: This rule is subject to subsection 346ZB(3), which deals with the situation where a workplace agreement as varied under Division 8 does not pass the no-disadvantage test.

346ZF Regulations may make provision for operation of provisions of revived instruments

The regulations may make provision for and in relation to the operation of instruments that are taken to bind an employer and employees because of the operation of section 346ZB.

Subdivision E--Entitlement to compensation

346ZG Employee is entitled to compensation in respect of no-disadvantage test period

(1) This section applies to an employee who is entitled to compensation under this section on and from a particular day because a workplace agreement to which Subdivision D applies that was binding on the employee's employer did not pass the no-disadvantage test.

Note 1: Sections 346V, 346W and 346ZA specify the day on which an employee's entitlement to compensation takes effect.

Note 2: An employee may be able to recover compensation even where a workplace agreement that initially does not pass the no-disadvantage test is varied so that it subsequently passes the no-disadvantage test--see section 346ZA.

(2) If the amount worked out under paragraph (a) is less than the amount worked out under paragraph (b), the employer must pay to the employee the amount of the shortfall:

(a) the total value of the entitlements to which the employee was entitled, under the workplace agreement, and under any other applicable law, agreement or arrangement that operated in conjunction with the workplace agreement, in respect of one or more periods of employment during the no-disadvantage test period for the workplace agreement;

(b) the total value of the entitlements to which the employee would have been entitled, in respect of one or more periods of employment of the employee during the no-disadvantage test period, worked out in accordance with the assumptions set out in subsection (3).

(3) For the purposes of working out the total value of the entitlements to which the employee would have been entitled, in respect of one or more periods of employment of the employee during the no-disadvantage test period, it is to be assumed that, during that period or those periods of employment:

(a) the employee's employment was subject to:

(i) the instrument or instruments that, but for the workplace agreement, would have bound the employer in relation to that period or those periods of employment of the employee; or

(ii) if there is no such instrument--the designated award in relation to the employee; and

(b) the employer was bound, under a designated provision relating to the agreement, by a redundancy provision that, but for the workplace agreement having come into operation, would have bound the employer in relation to the employee; and

(c) the employer was bound under section 394 by any undertaking that, but for the workplace agreement having come into operation, would have bound the employer in relation to the employee; and

(d) the employee's employment was subject to any other applicable law, agreement or arrangement that would have operated in conjunction with the instrument or instruments referred to in subparagraph (a)(i), or the designated award referred to in subparagraph (a)(ii), as the case requires.

(4) An employer breaches this section if the employer does not pay to the employee the amount of the shortfall calculated under subsection (2) within whichever of the following periods is applicable:

(a) if the employee is entitled to compensation because of the operation of section 346V in respect of the workplace agreement--the period of 14 days beginning on the seventh day after the date of issue specified in the notice under section 346U in relation to the workplace agreement;

(b) if the employee is entitled to compensation because of the operation of section 346W in respect of the workplace agreement--the period of 14 days beginning at the end of the relevant period (within the meaning of section 346W) in relation to the workplace agreement;

(c) if the employee is entitled to compensation because of the operation of section 346ZA in respect of the workplace agreement--the period of 14 days beginning on the seventh day after the date of issue specified in the notice under section 346Z in relation to the workplace agreement.

Note: Compliance with this section is dealt with in Part 14--this section is an applicable provision within the meaning of section 717.

(5) In this section:

designated provision has the same meaning as in section 346ZD.

instrument has the same meaning as in section 346ZB.

no-disadvantage test period, in relation to a workplace agreement, means:

(a) the period:

(i) beginning on the day on which the workplace agreement was lodged; and

(ii) ending on the day on which the workplace agreement ceased to operate (whether because of the operation of this Division or otherwise); or

(b) if the workplace agreement is continued in operation because of the operation of subsection 346W(4) or section 346ZA--the period:

(i) beginning on the day on which the workplace agreement was lodged; and

(ii) ending on the day on which the variation of the workplace agreement was lodged under section 346W or, if the workplace agreement had been varied before that day in such a way as to pass the no-disadvantage test, on that earlier day.

redundancy provision has the same meaning as in section 346ZD.

Subdivision F--Civil remedy provisions

346ZH Employer must notify employees

(1) An employer that has received a notice under section 346M, 346U or 346Z in relation to a collective agreement must take reasonable steps to ensure that all persons whose employment is subject to the agreement when the employer receives the notice are given a copy of the notice as soon as practicable.

(2) Subsection (1) is a civil remedy provision.

Note: See Division 11 for provisions on enforcement.

346ZJ Employer not to dismiss etc. employee because agreement does not pass the no-disadvantage test

(1) An employer must not:

(a) dismiss an employee; or

(b) threaten to dismiss an employee;
if the sole or dominant reason for the employer dismissing, or threatening to dismiss, the employee is that a workplace agreement does not, or may not, pass the no-disadvantage test.

(2) Subsection (1) is a civil remedy provision.

Note 1: An employee may still be entitled to compensation under section 346ZG if his or her workplace agreement does not pass the no-disadvantage test.

Note 2: A contravention of subsection (1) is enforceable by a workplace inspector--see Division 11 for provisions on enforcement.

(3) In proceedings alleging a contravention of subsection (1) it is presumed that the employer's sole or dominant reason was that the workplace agreement did not, or may not, pass the no-disadvantage test, unless the employer proves otherwise.

Note: Division 3 of Part 14 contains other provisions relevant to civil remedies.

346ZK Other remedies for the contravention of section 346ZJ

(1) The Court, on application by an eligible person, may make one or more of the following orders in relation to an employer who has contravened subsection 346ZJ(1):

(a) an order requiring the employer to pay a specified amount to the employee as compensation for damage suffered by the employee as a result of the contravention;

(b) any other order that the Court considers appropriate.

Note: The employee may still be entitled to compensation under section 346ZG if his or her workplace agreement does not pass the no-disadvantage test.

(2) The orders that may be made under paragraph (1)(b) include:

(a) injunctions; and

(b) any other orders that the Court considers necessary to stop the conduct or remedy its effects.

(3) In this section:

eligible person means any of the following:

(a) a workplace inspector;

(b) an employee affected by the contravention;

(i) has been requested in writing, by the employee concerned, to apply on the employee's behalf; and

(ii) is entitled, under its eligibility rules, to represent the industrial interests of the employee in relation to work carried on by the employee for the employer;

(d) a person prescribed by the regulations for the purposes of this paragraph.

(4) A regulation prescribing persons for the purposes of paragraph (d) of the definition of eligible person in subsection (3) may provide that a person is prescribed only in relation to circumstances specified in the regulation.

3 Subsection 347(1)
Repeal the subsection, substitute:

(1) A workplace agreement comes into operation at whichever of the following times is applicable:

(a) for an ITEA to which subparagraph 326(2)(b)(i) applies, a union greenfields agreement, an employer greenfields agreement or a multiple-business agreement that would be such an agreement but for subsection 331(1)--the day the agreement is lodged;

(b) for an ITEA to which subparagraph 326(2)(b)(ii) applies, an employee collective agreement, a union collective agreement or a multiple-business agreement that would be such an agreement but for subsection 331(1)--the seventh day after the date of issue specified in the notice under subsection 346M(1) or 346Q(2) in relation to the agreement.

4 After section 347
Insert:

347A Whether certain non-compliance affects the operation of a workplace agreement

(1) Despite section 347, a workplace agreement does not come into operation unless the requirements in Division 2 and section 340 have been met in relation to the agreement.

(2) However, failure to comply with any or all of the following in relation to a workplace agreement:

(a) the requirements in Division 3;

(b) the requirements in Division 4 (apart from section 340);

Note: Under Division 11, penalties apply to a person who contravenes a civil remedy provision in Division 3 or 4 or section 342.

5 Before paragraph 352(1)(a)
Insert:

(aa) in the case of an ITEA:

(i) if a date is specified in the agreement as its nominal expiry date, and that date is no later than 31 December 2009--that specified date; or

(ii) otherwise--31 December 2009; or

(ab) in the case of an employee collective agreement or a union collective agreement that is taken to pass the no-disadvantage test under subsection 346D(3):

(i) if a date is specified in the agreement as its nominal expiry date, and that date is no later than the second anniversary of the seventh day after the date of issue specified in the notice under subsection 346M(1)--that specified date; or

(ii) otherwise--the second anniversary of the seventh day after the date of issue specified in the notice under subsection 346M(1); or

6 At the end of subsection 352(1)
Add:

Note: Subsection 346D(3) is about workplace agreements that are taken to pass the no-disadvantage test because of exceptional circumstances.

7 Before paragraph 352(2)(a)
Insert:

(aa) in the case of an ITEA--the earlier of the following dates:

(i) the date specified in the agreement as varied as its nominal expiry date;

(ii) 31 December 2009; or

(ab) in the case of an employee collective agreement or a union collective agreement that is taken to pass the no-disadvantage test under subsection 346D(3)--the earlier of the following dates:

(i) the date specified in the agreement as varied as its nominal expiry date;

(ii) the second anniversary of the seventh day after the date of issue specified in the notice under subsection 346M(1); or

8 Sections 354 and 355
Repeal the sections.

9 Subsections 380(1) and (2)
Repeal the subsections, substitute:

(1) A variation to a workplace agreement under this Division comes into operation on the seventh day after the date of issue specified in the notice under subsection 346M(1) in relation to the agreement as varied.

10 At the end of Subdivision D of Division 8
Add:

380A Whether certain non-compliance affects the operation of a variation

(1) A variation to a workplace agreement does not come into operation unless the requirements in Subdivision A and section 373 have been met in relation to the variation.

(2) However, failure to comply with any or all of the following in relation to a variation to a workplace agreement:

(a) the requirements in Division 3;

(b) the requirements in Subdivision B of this Division (apart from section 373);

Note: Under Division 11, penalties apply to a person who contravenes a civil remedy provision in Division 3, Subdivision B of this Division or section 375.

11 Section 393
Repeal the section, substitute:

393 Unilateral termination of ITEA with 90 days written notice

(1) This section applies whether or not an ITEA provides for a manner of terminating the agreement after its nominal expiry date.

(2) Any of the following persons may terminate the ITEA by lodging a declaration in accordance with section 395:

(a) the employer in relation to the ITEA;

(b) the employee whose employment is subject to the ITEA;

Note: Sections 137.1 and 137.2 of the Criminal Code create offences for providing false or misleading information or documents.

(3) However, this may be done only if the nominal expiry date of the ITEA has passed.

(4) At least 90 days before the lodgment, and after the nominal expiry date of the ITEA has passed, the person intending to lodge the declaration must take reasonable steps to ensure that:

(a) written notice of the termination is given to:

(i) if the employer, or a bargaining agent at the employer's request, is intending to lodge the declaration--the employee; or

(ii) if the employee, or a bargaining agent at the employee's request, is intending to lodge the declaration--the employer; and

(b) if the person giving the notice is the employer in relation to the ITEA, or is a bargaining agent doing so at the request of the employer--a written copy of the undertakings (if any) made by the employer under section 394 is given to the employee.

(5) The notice must:

(a) state that the ITEA is to be terminated; and

(b) specify the day on which the person proposes to lodge the notice; and

(d) contain the information (if any) that the Workplace Authority Director requires by notice published in the Gazette; and

(e) if the person giving the notice is the employer in relation to the ITEA, or is a bargaining agent doing so at the request of the employer--state whether the parties to the ITEA will, under section 399A, continue to be bound by one or more redundancy provisions included in the ITEA; and

(f) if the parties to the ITEA will continue to be so bound--include an annexed copy of the provision or the provisions.

(6) A person contravenes this subsection if:

(a) the person lodges a declaration to terminate an ITEA under subsection (2); and

(b) the person failed to comply with subsection (4) or (5).

Note: See Division 11 for provisions on enforcement.

(7) Subsection (6) is a civil remedy provision.

12 After Subdivision D of Division 9 of Part 8
Insert:

Subdivision DA--Termination by the Commission

397A Termination by the Commission

(1) The Commission may, by order, terminate a collective agreement that has passed its nominal expiry date on application under subsection (2) if it is satisfied that it would not be contrary to the public interest to terminate the agreement.

(2) Any of the following persons may apply for an order under subsection (1):

(a) the employer;

(b) a majority of the employees whose employment is subject to the agreement;

(3) In deciding whether it would be contrary to the public interest to terminate the agreement, the Commission must have regard to all circumstances of the case, including:

(a) the views of each party bound by the agreement (including the employees) about whether it should be terminated; and

(b) the circumstances of each such party, including the likely effect on each such party of the termination of the agreement.

13 Section 398
Repeal the section, substitute:

398 Whether a termination takes effect if certain non-compliance occurs

(1) Failure to comply with the requirements in Division 3 in relation to a termination does not prevent the termination taking effect.

(2) Failure to comply with any or all of the following:

(a) the requirements in Subdivision B (apart from sections 382 and 386);

(b) the requirements in section 388;
does not prevent a termination of a kind mentioned in paragraph 381(1)(a) taking effect.

(3) However, a termination of that kind does not take effect unless the requirements in sections 382 and 386 have been met in relation to the termination.

(4) Failure to comply with any or all of the requirements in subsections 392(4) and (5) and 393(4) and (5) does not prevent a termination of a kind mentioned in paragraph 381(1)(b) taking effect.

14 Section 399
Repeal the section.

Part 2--Transitional matters
Workplace Relations Act 1996

15 After Schedule 7
Insert:

Schedule 7A--Transitional arrangements for existing AWAs
Note: See section 8

1 Definitions

(1) In this Schedule:

AWA has the meaning that was given by sections 4 and 326 of the pre-transition Act, but does not include:

(a) an agreement made after the commencement of this Schedule; or

(b) a pre-reform AWA within the meaning of Schedule 7.

pre-transition Act means this Act as in force immediately before the commencement of this Schedule.

(2) For the purposes of this Schedule, an agreement ceases to be an AWA unless:

(a) it was lodged with the Workplace Authority Director before the commencement of this Schedule; or

(b) it is lodged, in accordance with section 344 of the pre-transition Act, within 14 days after that commencement.

(3) Paragraph 333(a) and subsection 340(1) of the pre-transition Act apply to working out, for the purposes of the definition of AWA in subclause (1), when an agreement was made.

2 Continuing operation of AWAs

(1) Subject to this Schedule, the pre-transition Act continues to apply in relation to an AWA despite the repeals and amendments made by the Workplace Relations Amendment (Transition to Forward with Fairness) Act 2008.

(2) However, subclause (1) does not apply in relation to the following provisions of the pre-transition Act:

(a) the definition of Australian workplace agreement, or the definition of AWA, in subsection 4(1);

(b) paragraph 347(4)(b);

(d) section 399;

(e) Part 11;

(f) Schedule 6;

(g) Schedule 7;

(h) Schedule 8;

(i) Schedule 9;

(j) any other provision to the extent that it relates to the operation of the provisions mentioned in the preceding paragraphs.

Note: The application of Schedules 6, 7, 8 and 9 to AWAs is dealt with in those Schedules.

(3) Regulations made under the pre-transition Act continue to apply in relation to an AWA, except to the extent that they relate to the provisions mentioned in subclause (2).

(4) To avoid doubt, nothing in this Schedule permits an agreement made after the commencement of this Schedule to be treated as an AWA.

3 Bargaining agents

(1) Despite the definition of bargaining agent in subsection 4(1) of the pre-transition Act, an appointment of a bargaining agent ceases to have effect 14 days after the commencement of this Schedule if the appointment relates to:

(a) making an AWA; or

(b) varying an AWA (other than varying an AWA in circumstances referred to in paragraph 367(2)(aa), (b), (c) or (d) of the pre-transition Act).

(2) Despite subsection 334(1) of the pre-transition Act, an appointment of a bargaining agent made later than 14 days after the commencement of this Schedule is of no effect if the appointment relates to:

(a) making an AWA; or

(b) varying an AWA (other than varying an AWA in circumstances referred to in paragraph 367(2)(aa), (b), (c) or (d) of the pre-transition Act).

4 Effect of late lodgment of AWAs

Despite subsection 347(2) of the pre-transition Act, an AWA comes into operation only if:

(a) it was lodged with the Workplace Authority Director before the commencement of this Schedule; or

(b) it is lodged, in accordance with section 344 of the pre-transition Act, within 14 days after the commencement of this Schedule.

5 Restriction on varying AWAs

(1) Despite Division 8 of Part 8 of the pre-transition Act, a variation of an AWA cannot be made after the commencement of this Schedule.

Note: Under section 368 of the pre-transition Act, a variation of an AWA was made when it was approved in accordance with section 373 of the pre-transition Act.

(2) Despite subsection 380(2) of the pre-transition Act, a variation of an AWA comes into operation only if:

(a) it was lodged with the Workplace Authority Director before the commencement of this Schedule; or

(b) it is lodged, in accordance with section 377 of the pre-transition Act, within 14 days after the commencement of this Schedule.

(3) However, this clause does not prevent:

(a) variation of an AWA in circumstances referred to in paragraph 367(2)(aa), (b), (c) or (d) of the pre-transition Act; or

(b) the application of subsection 380(2) of the pre-transition Act in relation to a variation of an AWA in any of those circumstances.

6 Replacement of AWAs

(1) An AWA ceases to be in operation if it is replaced by an ITEA.

(2) If an AWA has ceased operating because of subclause (1), it can never operate again.

(3) Subclause (1) does not limit the operation of paragraph 347(4)(a), (ba), (bb) or (c) of the pre-transition Act for the purposes of this Schedule.

(4) To avoid doubt, despite paragraph 347(4)(b) of the pre-transition Act, an AWA cannot be replaced by another AWA made after the commencement of this Schedule.

7 Workplace Authority Director to notify of ineffective AWAs and variations

(1) If:

(a) a purported AWA made after the commencement of this Schedule is lodged with the Workplace Authority Director; or

(b) an AWA is lodged with the Workplace Authority Director after the end of the 14 day period referred to in section 342;
the Workplace Authority Director must notify the parties to the agreement that lodgment of the agreement has not been accepted and that the purported AWA or AWA is not in operation.

(2) If:

(a) a purported variation made to an AWA after the commencement of this Schedule is lodged with the Workplace Authority Director; or

(b) a variation made to an AWA is lodged with the Workplace Authority Director after the end of the 14 day period referred to in section 375;
the Workplace Authority Director must notify the parties to the agreement that lodgment of the variation has not been accepted and that the purported variation or variation is not in operation.

(3) However, subclause (2) does not apply to a variation of an AWA in circumstances referred to in paragraph 367(2)(aa), (b), (c) or (d) of the pre-transition Act.

8 Effect of AWAs on making and approving collective agreements etc.

(1) Despite clause 2 of this Schedule, the following provisions of this Act apply as if references in those provisions to an ITEA that has passed its nominal expiry date included references to an AWA that has passed its nominal expiry date:

(a) section 327;

(b) paragraph 340(2)(a);

(d) subparagraph 369(b)(ii);

(e) subparagraph 373(2)(a)(ii);

(f) subparagraph 467(1)(a)(iii);

(g) subparagraph 467(1)(b)(ii).

(2) Despite clause 2 of this Schedule, subsection 467(2) of this Act applies as if the reference in that subsection to an ITEA whose nominal expiry date has not passed included a reference to an AWA whose nominal expiry date has not passed.

Schedule 7B--Transitional arrangements for existing collective agreements
Note: See section 8

1 Definitions

In this Schedule:

fairness test means the test set out in section 346M of the pre-transition Act.

pre-transition Act means this Act as in force immediately before the commencement of this Schedule.

pre-transition collective agreement means a collective agreement made before the commencement of this Schedule that:

(a) was lodged with the Workplace Authority Director before that commencement; or

(b) is lodged, in accordance with section 344 of the pre-transition Act, within 14 days after that commencement;
but does not include a collective agreement made after that commencement.

2 Continuing operation of fairness test and protected award conditions to pre-transition collective agreements

(1) Subject to this Schedule, the following provisions of the pre-transition Act continue to apply in relation to a pre-transition collective agreement, despite the repeals and amendments made by the Workplace Relations Amendment (Transition to Forward with Fairness) Act 2008:

(a) paragraph 150B(1)(f);

(b) subsection 164A(7);

(d) paragraphs 347(4)(ba) and (bb);

(e) subsections 347(8A) and (9A);

(f) section 354;

(g) section 355;

(h) paragraph 367(2)(aa);

(i) paragraphs 407(2)(jb) to (jd);

(j) sections 416 to 418;

(k) subsection 506(5);

(l) any other provision relating to the operation of the provisions mentioned in the preceding paragraphs.

(2) Regulations made under the pre-transition Act, to the extent that they relate to the provisions mentioned in subclause (1), continue to apply in relation to a pre-transition collective agreement.

(3) To the extent that provisions of the pre-transition Act, and the regulations made under the pre-transition Act, continue to apply in relation to a pre-transition collective agreement, the corresponding provisions of this Act do not apply to the agreement.

(4) The provisions of this Act (other than the corresponding provisions referred to in subclause (3)) apply in relation to a pre-transition collective agreement as if references in those provisions to the no-disadvantage test were references to the fairness test.

3 Application of this Schedule to variations of pre-transition collective agreements

Clause 2 of this Schedule does not apply in relation to a variation of a pre-transition collective agreement unless the variation:

(a) was lodged with the Workplace Authority Director before the commencement of this Schedule; or

(b) is made before that commencement and is lodged, in accordance with section 377 of the pre-transition Act, within 14 days after that commencement.

Part 3--Other amendments of the Workplace Relations Act 1996

16 Subsection 4(1) (definition of Australian workplace agreement or AWA)
Repeal the definition.

17 Subsection 4(1) (definition of AWA)
Repeal the definition.

18 Subsection 4(1) (paragraph (a) of the definition of bargaining agent)
Repeal the paragraph, substitute:

(a) in relation to an ITEA--a person who has been duly appointed as a bargaining agent in relation to the ITEA in accordance with section 334; or

19 Subsection 4(1)
Insert:

individual transitional employment agreement or ITEA has the meaning given by section 326.

ITEA: see individual transitional employment agreement.

20 Subsection 4(1) (definition of workplace agreement)
Repeal the definition, substitute:

workplace agreement means:

(a) an ITEA; or

(b) a collective agreement;
and includes a document that the Court has ordered under section 412A is to have effect as a workplace agreement.

Note 1: Section 324 affects the meaning of workplace agreement.

Note 2: Under section 324A, some other documents are taken to be workplace agreements for certain limited purposes.

Note 3: An order by the Court under paragraph 412A(1)(a) enables a document to which section 324A applies to have effect as a workplace agreement.

21 Section 8
Repeal the section, substitute:

8 Schedules 1, 6, 7, 7A, 7B, 8, and 9 have effect
Schedules 1, 6, 7, 7A, 7B, 8 and 9 have effect.

Note 1: Schedule 1 is about registration and accountability of organisations.

Note 2: Schedule 6 is about transitional arrangements for parties bound by federal awards.

Note 3: Schedule 7 is about transitional arrangements for existing pre-reform certified agreements.

Note 4: Schedule 7A is about transitional arrangements for existing AWAs.

Note 5: Schedule 7B is about transitional arrangements for existing collective agreements.

Note 6: Schedule 8 is about transitional treatment of State employment agreements and State awards.

Note 7: Schedule 9 is about transitional instruments and transmission of business.

22 Paragraph 150B(1)(f)
Omit "fairness test", substitute "no-disadvantage test".

23 Subsection 164A(7)
Repeal the subsection, substitute:

(7) Despite subsections (1), (2) and (5), a workplace agreement official is not authorised by any of those subsections to disclose to the Minister information relating to a decision under Division 5A of Part 8 whether a particular workplace agreement passes the no-disadvantage test.

24 Paragraph 165(1)(c)
Omit "AWA", substitute "ITEA".

Note 1: The heading to section 165 is altered by omitting "AWAs" and substituting "ITEAs".

Note 2: The heading to section 166 is altered by omitting "AWAs" and substituting "workplace agreements".

25 Subsection 185(3) (cell at table item 1, column headed "In this situation ...")
Repeal the cell, substitute:

if:

(a) subsection 182(1) applies to the employment of the employee; and
(b) the employee's employment has never been subject to a workplace agreement;

26 Subsection 185(3) (cell at table item 2, column headed "In this situation ...")
Repeal the cell, substitute:

if:

(a) subsection 182(1) applies to the employment of the employee; and
(b) the employee's employment has been, but is no longer, subject to a workplace agreement;

27 After section 324
Insert:

324A Documents taken to be workplace agreements etc.

If a document:

(a) is represented (expressly or by implication) to be a workplace agreement, or a type of workplace agreement mentioned in section 326, 327, 328, 329, 330 or 331; and

(b) could not come into operation under this Act as a workplace agreement, or as a workplace agreement of that type, even if it were to pass the no-disadvantage test;
the document is taken to be a workplace agreement, or a workplace agreement of that type, for the purposes of:

(c) Divisions 3 and 4, Division 5 (other than section 342), Divisions 8, 9 and 10 and Division 11 (other than sections 409 to 412A); and

(d) any other provision of this Act, to the extent that the provision relates to the operation of any of the provisions mentioned in paragraph (c).

Note: The Court can order under section 412A that a document is to have effect as a workplace agreement for the purposes of the entire Act.

28 Section 327
After "will", insert ", or would but for the operation of an ITEA that has passed its nominal expiry date,".

29 Paragraph 333(a)
Repeal the paragraph, substitute:

(a) for an ITEA--the time when the ITEA is approved in accordance with section 340;

30 Subsection 334(1)
Omit "AWA", substitute "ITEA".

Note: The heading to section 334 is altered by omitting "AWAs" and substituting "ITEAs".

31 Paragraph 336(a)
Repeal the paragraph, substitute:

(a) in the case of an ITEA--the person whose employment will be subject to the ITEA; or

32 Paragraph 336(b)
After "will", insert ", or would but for the operation of an ITEA that has passed its nominal expiry date,".

33 Paragraph 337(4)(b)
Omit "AWA", substitute "ITEA".

34 Paragraph 337(4)(ca)
Repeal the paragraph.

35 Subsection 337(6)
Repeal the subsection, substitute:

(6) For the purposes of this section, if the workplace agreement incorporates terms from another workplace agreement or an award, the eligible employees have ready access to the workplace agreement only if they have ready access to that other workplace agreement or award in writing.

36 Subsection 340(1)
Omit "AWA" (wherever occurring), substitute "ITEA".

37 Paragraph 340(2)(a)
After "will", insert ", or would but for the operation of an ITEA that has passed its nominal expiry date,".

38 Subsection 342(1)
Omit "AWA", substitute "ITEA".

39 Paragraph 344(1)(b)
Repeal the paragraph, substitute:

(b) the workplace agreement:

(i) in the case of an ITEA--meets the signature requirements of subsection 340(1); or

(ii) in the case of a collective agreement--meets the signature requirements of regulations made for the purposes of paragraph 418(e); and

40 Paragraph 345(2)(b)
Omit "AWA", substitute "ITEA".

41 Subsection 346A(1)
Omit "AWA" (wherever occurring), substitute "ITEA".

Note: The heading to section 346A is altered by omitting "AWA" and substituting "ITEA".

42 Subsections 347(2) and (2A)
Repeal the subsections.

43 Paragraphs 347(4)(b), (ba) and (bb)
Repeal the paragraphs, substitute:

(b) in the case of an ITEA--it is replaced by another ITEA; or

(ba) in the case of an agreement to which paragraph (1)(a) applies--the Workplace Authority Director decides under section 346D that the agreement does not pass the no-disadvantage test and the employer who is bound by the agreement does not take the action referred to in subsection 346W(2) within the relevant period (as defined in subsection 346W(7)) in relation to the agreement; or

(bb) the Workplace Authority Director decides under section 346Z that the agreement as varied does not pass the no-disadvantage test; or

44 Subsections 347(7A), (8A) and (9A)
Repeal the subsections.

45 Subsection 348(2)
Omit "AWA", substitute "ITEA".

46 Paragraphs 360(2)(b) and 367(1)(a)
Omit "AWA", substitute "ITEA".

47 Paragraph 367(1)(b)
After "will", insert ", or would but for the operation of an ITEA that has passed its nominal expiry date,".

48 Paragraph 367(2)(aa)
Repeal the paragraph, substitute:

(aa) section 346W (which deals with agreements that do not pass the no-disadvantage test); or

49 Paragraph 368(a)
Omit "AWA", substitute "ITEA".

50 At the end of Subdivision A of Division 8 of Part 8
Add:

368A Documents taken to be variations of workplace agreements etc.

If a document:

(a) is represented (expressly or by implication) to be a variation of a workplace agreement, or of a type of workplace agreement mentioned in section 326, 327, 328, 329, 330 or 331; and

(b) could not come into operation under this Act as a variation of a workplace agreement, or as a variation of a workplace agreement of that type, even if the agreement as varied were to pass the no-disadvantage test;
the document is taken to be a variation of a workplace agreement, or of a workplace agreement of that type, for the purposes of:

(c) Division 3, Subdivisions B and C of this Division (other than section 375), Division 10 and Division 11 (other than sections 409 to 412A); and

(d) any other provision of this Act, to the extent that the provision relates to the operation of any of the provisions mentioned in paragraph (c).

Note: The Court can order under section 412A that a document is to have effect as a variation for the purposes of the entire Act.

51 Paragraph 369(a)
Omit "AWA", substitute "ITEA".

52 Subparagraph 369(b)(ii)
After "will", insert ", or would but for the operation of an ITEA that has passed its nominal expiry date,".

53 Paragraph 370(4)(b)
Omit "AWA", substitute "ITEA".

54 Subsection 370(6)
Repeal the subsection, substitute:

(6) For the purposes of this section, if, because of the variation, the agreement as varied would incorporate terms from another workplace agreement or an award, the eligible employees have ready access to the variation only if they have ready access to that other workplace agreement or award in writing.

55 Subsection 373(1)
Omit "AWA", substitute "ITEA".

56 Subparagraph 373(2)(a)(ii)
After "will", insert ", or would but for the operation of an ITEA that has passed its nominal expiry date,".

57 Paragraph 377(1)(b)
Repeal the paragraph, substitute:

(b) the workplace agreement:

(i) in the case of a variation of an ITEA--meets the signature requirements of subsection 373(1); or

(ii) in the case of a variation of a collective agreement--meets the signature requirements of regulations made for the purposes of paragraph 418(ea); and

58 Paragraph 378(2)(b)
Omit "AWA", substitute "ITEA".

59 At the end of section 380
Add:

Note: Section 346R sets out when variations of workplace agreements under Division 5A come into operation.

60 At the end of subsection 381(1)
Add:

; or (c) by the Commission (see Subdivision DA).

61 Paragraph 381(2)(c)
Omit "a declaration", substitute "in the case of an ITEA--a declaration".

62 At the end of subsection 381(2)
Add:

; or (d) in the case of a collective agreement--an order by the Commission under section 397A takes effect.

63 At the end of Subdivision A of Division 9 of Part 8
Add:

381A Documents taken to be terminations of workplace agreements etc.

If a document:

(a) is represented (expressly or by implication) to be a termination of a workplace agreement, or of a type of workplace agreement mentioned in section 326, 327, 328, 329, 330 or 331; and

(b) could not come into operation under this Act as a termination of a workplace agreement, or as a termination of a workplace agreement of that type;
the document is taken to be a termination of a workplace agreement, or of a workplace agreement of that type, for the purposes of:

(c) Division 3, Subdivisions B and C of this Division (other than section 388), Division 10 and Division 11 (other than sections 409 to 412A); and

(d) any other provision of this Act, to the extent that the provision relates to the operation of any of the provisions mentioned in paragraph (c).

Note: The Court can order under section 412A that a document is to have effect as a termination for the purposes of the entire Act.

64 Paragraphs 382(a), 383(a) and 384(3)(b)
Omit "AWA", substitute "ITEA".

65 Subsection 386(1)
Omit "AWA" (wherever occurring), substitute "ITEA".

66 Paragraph 389(1)(b)
Repeal the paragraph, substitute:

(b) if the workplace agreement is an ITEA:

(i) the termination agreement meets the signature requirements of subsection 386(1); and

(ii) a copy of the signed termination agreement is annexed to the declaration.

67 Paragraphs 390(2)(b), 392(2)(ba) and (c) and 393(2)(ba) and (c)
Omit "AWA", substitute "ITEA".

68 Subsection 394(1)
Omit "a workplace agreement", substitute "an ITEA".

69 Subsections 394(1) and 394(2)
Omit "the workplace agreement", substitute "the ITEA".

70 Subsections 394(4) and (5)
Omit "a workplace agreement", substitute "an ITEA".

71 Subsection 394(8)
Repeal the subsection (including the note).

72 Subsection 395(1)
Repeal the subsection (including the note), substitute:

(1) A person lodges a declaration to terminate a workplace agreement under section 392 with the Workplace Authority Director if:

(a) the person gives it to the Workplace Authority Director; and

(b) it meets the form requirements mentioned in subsection (3).

(1A) A person lodges a declaration to terminate an ITEA under section 393 with the Workplace Authority Director if:

(a) the person gives it to the Workplace Authority Director; and

(b) it meets the form requirements mentioned in subsection (3); and

(c) if the employer in relation to the ITEA, or a bargaining agent at the request of the employer in relation to the ITEA, lodges the declaration to terminate the ITEA--the declaration states whether the parties to the ITEA will, under section 399A, continue to be bound by one or more redundancy provisions included in the ITEA.

Note: Sections 137.1 and 137.2 of the Criminal Code create offences for providing false or misleading information or documents.

73 Subsection 395(2)
Omit "agreement" (wherever occurring), substitute "ITEA".

74 Subsection 395(3)
After "paragraph (1)(b)", insert "or (1A)(b)".

75 Subsection 395(4)
After "subsection (1)", insert "or (1A)".

76 Subsection 396(1A)
Omit "a workplace agreement, or a bargaining agent at the request of the employer in relation to a workplace agreement, lodged a declaration under subsection 395(1) to terminate the agreement", substitute "an ITEA, or a bargaining agent at the request of the employer in relation to an ITEA, lodged a declaration under subsection 395(1A) to terminate the ITEA".

77 Paragraph 396(1A)(a)
Omit "workplace agreement" (wherever occurring), substitute "ITEA".

78 Paragraph 396(2)(c)
Omit "AWA", substitute "ITEA".

79 Subsection 399A(1)
Omit "a workplace agreement", substitute "an ITEA".

80 Subsection 399A(1)
Omit "the agreement" (wherever occurring), substitute "the ITEA".

81 Subsection 399A(2)
Omit "workplace agreement" (wherever occurring), substitute "ITEA".

82 Subsection 399A(2A)
Omit "a workplace agreement", substitute "an ITEA".

83 Paragraph 399A(3)(a)
Omit "workplace agreement", substitute "ITEA".

84 Subsections 400(3), (5) and (6)
Omit "AWA", substitute "ITEA".

85 Paragraphs 400(6A)(b) and (d) and 405(1)(e)
Omit "AWA", substitute "ITEA".

86 At the end of section 406
Add "or Division 7A of Part 11".

87 Paragraph 407(2)(jb)
Omit "346ZE(1)", substitute "346ZH(1)".

88 Paragraph 407(2)(jba)
Repeal the paragraph.

89 Paragraph 407(2)(jc)
Omit "346ZF(1)", substitute "346ZJ(1)".

90 Paragraph 407(2)(jd)
Repeal the paragraph.

91 At the end of subsection 407(2)
Add:

; (zl) for subsection 601H(2)--30 penalty units.

92 After section 412
Insert:

412A Court may give effect to purported workplace agreements etc.

(1) The Court may order that:

(a) a document to which section 324A applies that was lodged with the Workplace Authority Director is to have effect as a workplace agreement for the purposes of this Act; or

(b) a document to which section 368A applies that was lodged with the Workplace Authority Director is to have effect as a variation of a workplace agreement for the purposes of this Act; or

(c) a document to which section 381A applies that was lodged with the Workplace Authority Director is to have effect as a termination of a workplace agreement for the purposes of this Act.

(2) However, the Court must not make an order under this section unless it is satisfied that the order would not reduce any employee's overall terms and conditions of employment.

(3) In deciding for the purposes of subsection (2) whether an order will disadvantage an employee, the Court is to take into account any reference instruments (within the meaning of Division 5A) that relate to the employee.

(4) An order under this section:

(a) is taken to have had effect from a date specified in the order that is earlier than the date of the order; or

(b) has effect from a date specified in the order that is later than the date of the order; or

(5) The date specified in the order must not be earlier than the date of lodgment of the document to which section 324A, 368A or 381A applies.

93 Subsections 415(1) and (2)
Omit "AWAs", substitute "ITEAs".

Note: The heading to section 415 is altered by omitting "AWAs" and substituting "ITEAs".

94 Paragraph 416(1)(a)
Omit "346S(2), 377(2), 389(2) or 395(1)", substitute "346X(2), 377(2), 389(2) or 395(1) or (1A)".

95 Paragraph 416(1)(d)
Omit "346J(1) or (2), 346P(1) or (2), 346U(2)", substitute "346M(1) or (2), 346U(1) or (2), 346Z(2)".

96 Paragraph 416(1)(g)
Omit "346K or 346L", substitute "346G or 346H".

97 Paragraph 417(1)(a)
Omit "346S(2), 377(2), 389(2) or 395(1)", substitute "346X(2), 377(2), 389(2) or 395(1) or (1A)".

98 Paragraph 417(1)(g)
Omit "346P(3)(a)", substitute "346M(2)(b), 346U(2)(b)".

99 Paragraph 417(1)(k)
Omit "346J(1) or (2), 346P(1) or (2), 346U(2)", substitute "346M(1) or (2), 346U(1) or (2), 346Z(2)".

100 Paragraph 418(d)
Omit "AWAs", substitute "ITEAs".

101 After paragraph 418(e)
Insert:

(ea) the signing of variations of workplace agreements by persons bound by those agreements, or representatives of those persons;

102 Section 450 (definition of relevant employee)
Omit "AWA", substitute "ITEA".

103 Subparagraphs 467(1)(a)(iii) and (b)(ii)
After "will", insert ", or would but for the operation of an ITEA that has passed its nominal expiry date,".

104 Subsection 467(2)
Omit "AWA", substitute "ITEA".

105 Paragraph 485(1)(d)
Omit "AWA", substitute "ITEA".

106 Subsections 495(1) and (2)
Omit "AWA" (wherever occurring), substitute "ITEA".

Note: The heading to section 495 is altered by omitting "AWA" and substituting "ITEA".

107 Subsection 506(4)
Omit "sections", substitute "subsection".

108 Subsection 506(4)
Omit "is lodged", substitute "comes into operation".

109 Subsection 506(5)
Repeal the subsection (including the note).

110 Subsection 513(1) (note 3)
Repeal the note.

111 Paragraph 578(2)(a)
Omit "AWAs", substitute "ITEAs".

112 Section 579 (paragraph (a) of the definition of instrument)
Repeal the paragraph, substitute:

(a) an ITEA; or

113 Division 3 of Part 11 (heading)
Repeal the heading, substitute:

Division 3--Transmission of ITEA

114 Paragraph 583(1)(a)
Omit "AWA", substitute "ITEA that was in operation".

115 Paragraph 583(1)(b)
Omit "AWA", substitute "ITEA".

116 Subsection 583(1)
Omit "AWA" (last occurring), substitute "ITEA".

Note 1: The heading to section 583 is altered by omitting "AWA" and substituting "ITEA".

Note 2: The heading to subsection 583(1) is altered by omitting "AWA" and substituting "ITEA in operation".

117 After subsection 583(1)
Insert:

Transferring employee considered an existing employee for the purposes of eligibility to make an ITEA

(1A) For the purposes of applying section 326 to a transferring employee in relation to a new employer:

(a) treat the employee as being in an employment relationship with the employer; and

(b) assume that subparagraph 326(2)(b)(i) does not apply to the employee.

118 Subsection 583(2)
Omit "AWA" (wherever occurring), substitute "ITEA".

119 Section 584
Repeal the section, substitute:

584 Termination of transmitted ITEA

The ITEA cannot be terminated under subsection 392(2) or 393(2) during the transmission period (even if the ITEA has passed its nominal expiry date).

120 Paragraph 585(1)(a)
After "collective agreement", insert "that was in operation".

Note: The heading to subsection 585(1) is altered by inserting "in operation" after "collective agreement".

121 Paragraph 585(3)(a)
Repeal the paragraph.

122 Subsection 587(2)
Repeal the subsection (including the note).

123 Subsection 588(2)
Omit "or 393(2)".

Note: The heading to subsection 588(2) is altered by omitting "subsections 392(2) and 393(2)" and substituting "subsection 392(2)".

124 Subsection 588(3)
Repeal the subsection (including the note).

125 Paragraph 595(3)(a)
Repeal the paragraph.

126 Subsection 596(2) (note 2)
Omit "AWAs and".

127 Subsection 597(2)
Repeal the subsection (including the note).

128 After Division 7 of Part 11
Insert:

Division 7A--Application of no-disadvantage test

601A No decision under section 346D at time of transmission

(1) This section applies if a workplace agreement that is in operation becomes binding upon a new employer and a transferring employee or transferring employees, because of the operation of section 583 or 585, before the Workplace Authority Director has decided whether the agreement passes the no-disadvantage test under section 346D.

(2) Subject to subsection (4), for the purposes of deciding under section 346D whether the workplace agreement passes the no-disadvantage test, references to the employer in the following provisions:

(a) section 346D;

(b) the definitions of relevant collective instrument and relevant general instrument in section 346E;

(3) If:

(a) the Workplace Authority Director has been notified that the workplace agreement is binding on the new employer and the transferring employee or transferring employees; and

(b) the Workplace Authority Director is required to give a notice under section 346M, 346U or 346Z to the employer in relation to the workplace agreement;
the Workplace Authority Director must give the notice to both the old employer and the new employer.

(4) If the Workplace Authority Director decides under section 346D that the workplace agreement does not pass the no-disadvantage test:

(a) references in section 346W to the employer bound by the workplace agreement are taken to be references to the new employer; and

(b) to avoid doubt, if the new employer subsequently lodges a variation of the workplace agreement under section 346W then, for the purposes of deciding under section 346Z whether the workplace agreement as varied passes the no-disadvantage test, references to the employer in the following provisions:

(i) section 346D;

(ii) the definitions of relevant collective instrument and relevant general instrument in section 346E;

(iii) section 346J;

are taken to be references to the old employer.

Note 1: The employment arrangements that have effect in relation to the new employer and the transferring employee or transferring employees are as set out in section 601D.

Note 2: The compensation payable to the transferring employees under section 346ZG by both the old employer and the new employer is as specified in subsections 346ZG(2), (3) and 601G(1).

601B No decision on a varied agreement under section 346Z at time of transmission

(1) This section applies if a workplace agreement as varied becomes binding upon a new employer and a transferring employee or transferring employees, because of the operation of section 583 or 585, before the Workplace Authority Director has decided whether the agreement as varied passes the no-disadvantage test under section 346Z.

(2) For the purposes of deciding under section 346Z whether the workplace agreement as varied passes the no-disadvantage test, references to the employer in the following provisions:

(a) section 346D;

(b) the definitions of relevant collective instrument and relevant general instrument in section 346E;

(3) If:

(a) the Workplace Authority Director has been notified that the workplace agreement is binding upon the new employer and a transferring employee or transferring employees; and

(b) the Workplace Authority Director is required to give a notice under section 346Z to the employer in relation to the workplace agreement;
the Workplace Authority Director must give the notice to both the old employer and the new employer.

601C Employees still employed by old employer

To avoid doubt, if a workplace agreement becomes binding upon a new employer and a transferring employee or transferring employees because of the operation of section 583 or 585, Division 5A of Part 8 has effect, to the extent that the workplace agreement continues to bind:

(a) the old employer; and

(b) an employee or employees who are not transferring employees;
according to its terms.

601D Employment arrangements if a workplace agreement ceases to operate because it does not pass no-disadvantage test

(1) This section applies if:

(a) on a particular day (the cessation day), a workplace agreement (the original agreement) ceases to operate under section 346W or 346ZA because the original agreement does not pass the no-disadvantage test; and

(b) during the period beginning when the original agreement was lodged and ending on the cessation day, the original agreement became binding upon a new employer and a transferring employee or transferring employees because of the operation of section 583 or 585 in relation to a business being transferred; and

Note: If the cessation day occurs after the transmission period ends, the rules in Divisions 3, 4, 5 and 6 of this Part will have effect according to their terms.

(2) Despite subsection 346ZB(2), the new employer and the transferring employee or transferring employees who were bound by the original agreement immediately before the cessation day are taken, on and from the cessation day, to be bound by:

(a) the instrument:

(i) that, but for the original agreement having come into operation, would have bound the old employer and the transferring employee or transferring employees immediately before the time of transmission; and

(ii) that was capable of binding the new employer after the time of transmission under this Part, Schedule 6 or Schedule 9; or

(b) if there is no instrument of a kind referred to in paragraph (a) in relation to the old employer and one or more of the transferring employees--the designated award (within the meaning of Division 5A of Part 8) in relation to that employee or those employees.

(3) If, but for the original agreement having come into operation, the old employer would have been bound, immediately before the time of transmission, under a designated provision relating to the agreement, by a redundancy provision in relation to a transferring employee or transferring employees whose employment was subject to the original agreement, the new employer is taken:

(a) to be bound under section 598A or clause 27A of Schedule 9, as the case requires, on and from the cessation day, by the redundancy provision in relation to the transferring employee or transferring employees; and

(b) to continue to be so bound until the earliest of the following:

(i) the end of the period of 24 months beginning on the first day on which the old employer became bound, under the designated provision, by the redundancy provision;

(ii) the time when the employee ceases to be employed by the new employer;

(iii) the time when another workplace agreement comes into operation in relation to the transferring employee or the transferring employees and the new employer.

(4) If the original agreement is a workplace agreement as varied under Division 8 of Part 8, the workplace agreement as in force before the variation was lodged is, despite section 346ZE, capable of being an instrument described in paragraph (2)(a).

(5) In this section:

designated provision has the same meaning as in section 346ZD.

instrument means any of the following:

(a) a workplace agreement;

(b) an award;

(d) a transitional Victorian reference award (within the meaning of Part 7 of Schedule 6);

(e) a transitional award (within the meaning of Schedule 6) other than a Victorian reference award (within the meaning of that Schedule) to the extent that the award regulates excluded employers in respect of the employment of employees in Victoria;

(f) a preserved State agreement (within the meaning of Schedule 8);

(g) a notional agreement preserving State awards (within the meaning of Schedule 8).

redundancy provision has the same meaning as in section 346ZD.

601E Effect of section 601D in relation to instruments

If, because of the operation of section 601D, a new employer and a transferring employee or transferring employees are taken to be bound by an instrument, the instrument is taken, despite any other provision of this Act, to have effect in relation to the new employer and the transferring employee or employees throughout the period:

(a) beginning on the cessation day; and

(b) ending at the end of the transmission period in relation to the business being transferred;
as if the new employer and the transferring employee or transferring employees had become bound by the instrument under Division 3, 4, 5 or 6 of this Part or Schedule 6 or Schedule 9, as the case requires.

601F Regulations may make provision for operation of revived instruments

The regulations may make provision for and in relation to the operation of instruments that are taken to bind an employer and the employees because of the operation of section 601D.

601G Compensation in respect of no-disadvantage test period

(1) If, because of the operation of section 583 or 585, a workplace agreement to which section 346ZG applies bound an old employer and a new employer in relation to the employment of a transferring employee during the no-disadvantage test period for that agreement, section 346ZG applies with the following modifications:

(a) the transferring employee is entitled to be paid compensation by the old employer in respect of the period or periods during which the employee was employed by the old employer, worked out in accordance with the assumptions set out in subsection 346ZG(3); and

(b) the transferring employee is entitled to be paid compensation by the new employer in respect of the period or periods during which the employee was employed by the new employer, worked out in accordance with the assumptions set out in subsection 346ZG(3), subject to the following modifications:

(i) subparagraph 346ZG(3)(a)(i) is taken to refer to the instrument described in paragraph 601D(2)(a); and

(ii) a reference in paragraph 346ZG(3)(b) to a designated provision is taken to be a reference to section 598A or clause 27A of Schedule 9, as the case requires.

(2) In this section:

no-disadvantage test period has the same meaning as in section 346ZG.

601H Notice requirements in relation to transmission of business

(1) This section applies if:

(a) a new employer is bound by a workplace agreement (the transmitted workplace agreement) in relation to a transferring employee because of section 583 or 585; and

(b) as at the time of transmission, the Workplace Authority Director has not yet decided whether the transmitted workplace agreement passes the no-disadvantage test under section 346D or 346Z.

(2) The old employer must take reasonable steps to give a written notice to the Workplace Authority Director that:

(a) identifies the transmitted workplace agreement; and

(b) states whether or not the old employer remains bound by the transmitted workplace agreement in relation to the employment of any employees; and

(d) specifies the name and address of the new employer.

(3) Subsection (2) is a civil remedy provision.

Note: See Division 11 of Part 8 for provisions on enforcement.

129 Subparagraph 602(1)(a)(i)
Omit "AWA", substitute "ITEA".

130 Subsection 602(6)
Repeal the subsection, substitute:

(6) Subsection (2) does not apply if:

(a) the transmitted instrument is an award and the new employer and the transferring employee become bound by a collective agreement at the time of transmission or within 14 days after the time of transmission; or

(b) the transmitted instrument is an ITEA and the new employer and the transferring employee become bound by an ITEA within 14 days after the time of transmission.

131 Paragraphs 603(1)(a) and 603B(2)(a)
Omit "AWA", substitute "ITEA".

132 Subsection 605(5) (table item 1)
Omit "AWA", substitute "ITEA".

133 Paragraph 659(2)(g)
Omit "AWA", substitute "ITEA".

134 Subsection 691A(6) (at the end of the definition of industrial instrument)
Add:

; (l) an AWA (within the meaning of Schedule 7A).

135 Section 717 (subparagraph (a)(i) of the definition of applicable provision)
Repeal the subparagraph, substitute:

(i) an ITEA;

136 Section 717 (paragraph (aa) of the definition of applicable provision)
Repeal the paragraph, substitute:

(aa) section 346ZG (no-disadvantage test compensation); and

137 Subsection 718(1) (table item 1)
Repeal the item, substitute:

1
a term of an ITEA
(a) an employer that is bound by the ITEA;
(b) an employee who is bound by the ITEA;
(c) an organisation of employees that represents an employee who is bound by the ITEA (subject to subsection (5));

Commonwealth of Australia Bills

WORKPLACE RELATIONS AMENDMENT (TRANSITION TO FORWARD WITH FAIRNESS) BILL 2008