Commonwealth Consolidated Acts

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Enterprise agreements to include a flexibility term etc.

Flexibility term must be included in an enterprise agreement

             (1)  An enterprise agreement must include a term (a flexibility term ) that:

                     (a)  enables an employee and his or her employer to agree to an arrangement (an individual flexibility arrangement ) varying the effect of the agreement in relation to the employee and the employer, in order to meet the genuine needs of the employee and employer; and

                     (b)  complies with section 203.

Effect of an individual flexibility arrangement

             (2)  If an employee and employer agree to an individual flexibility arrangement under a flexibility term in an enterprise agreement:

                     (a)  the agreement has effect in relation to the employee and the employer as if it were varied by the arrangement; and

                     (b)  the arrangement is taken to be a term of the agreement.

             (3)  To avoid doubt, the individual flexibility arrangement:

                     (a)  does not change the effect the agreement has in relation to the employer and any other employee; and

                     (b)  does not have any effect other than as a term of the agreement.

Model flexibility term

             (4)  If an enterprise agreement does not include a flexibility term, the model flexibility term is taken to be a term of the agreement.

             (5)  The regulations must prescribe the model flexibility term for enterprise agreements.

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