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FAIR WORK ACT 2009 - SECT 243

When the FWC must make a low-paid authorisation

Low-paid authorisation

             (1)  The FWC must make a low-paid authorisation in relation to a proposed multi-enterprise agreement if:

                     (a)  an application for the authorisation has been made; and

                     (b)  the FWC is satisfied that it is in the public interest to make the authorisation, taking into account the matters specified in subsections (2) and (3).

FWC must take into account historical and current matters relating to collective bargaining

             (2)  In deciding whether or not to make the authorisation, the FWC must take into account the following:

                     (a)  whether granting the authorisation would assist low-paid employees who have not had access to collective bargaining or who face substantial difficulty bargaining at the enterprise level;

                     (b)  the history of bargaining in the industry in which the employees who will be covered by the agreement work;

                     (c)  the relative bargaining strength of the employers and employees who will be covered by the agreement;

                     (d)  the current terms and conditions of employment of the employees who will be covered by the agreement, as compared to relevant industry and community standards;

                     (e)  the degree of commonality in the nature of the enterprises to which the agreement relates, and the terms and conditions of employment in those enterprises.

FWC must take into account matters relating to the likely success of collective bargaining

             (3)  In deciding whether or not to make the authorisation, the FWC must also take into account the following:

                     (a)  whether granting the authorisation would assist in identifying improvements to productivity and service delivery at the enterprises to which the agreement relates;

                     (b)  the extent to which the likely number of bargaining representatives for the agreement would be consistent with a manageable collective bargaining process;

                     (c)  the views of the employers and employees who will be covered by the agreement;

                     (d)  the extent to which the terms and conditions of employment of the employees who will be covered by the agreement is controlled, directed or influenced by a person other than the employer, or employers, that will be covered by the agreement;

                     (e)  the extent to which the applicant for the authorisation is prepared to consider and respond reasonably to claims, or responses to claims, that may be made by a particular employer named in the application, if that employer later proposes to bargain for an agreement that:

                              (i)  would cover that employer; and

                             (ii)  would not cover the other employers specified in the application.

What authorisation must specify etc.

             (4)  The authorisation must specify:

                     (a)  the employers that will be covered by the agreement (which may be some or all of the employers specified in the application); and

                     (b)  the employees who will be covered by the agreement (which may be some or all of the employees specified in the application); and

                     (c)  any other matter prescribed by the procedural rules.

Operation of authorisation

             (5)  The authorisation comes into operation on the day on which it is made.



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