Although bonuses cover the minimum wage and conditions of a sector, company agreements can cover specific agreements for a given company. Minimum working conditions may come from agreements, rewards or registered laws. Fair Work Commission publishes company agreements on this website. The Fair Work Act 2009 sets out strict rules and guidelines that all parties must follow to ensure that the process is fair. These include negotiation directives, binding conditions and requirements necessary to comply with the Authorization Standards of the Fair Work Commission (FWC). Independent contractors are individuals who are self-employed and who assign their services to other companies. An example for an independent contractor is an electrician who is specifically hired by a company to perform electrical work as part of plant development. Independent contractors have different rights vis-à-vis staff. This means that, in principle, both sides must play fairly. Unlike a Modern Award or the National Employment Standards (NES), a company agreement gives employers and workers the freedom to negotiate better wages, more flexibility and working conditions tailored to their individual needs. Once negotiations on the company agreement between the representative parties have been concluded, the agreement will be put to a vote. All employees covered by the outstanding agreement have the right to vote on the agreement. If a majority of staff members who voted in due form agree with the agreement, the company agreement is submitted to the FWC for approval.
Employment contracts can set working conditions – learn more about contracts. Company agreements can encompass a wide range of issues, such as: the employment contract may be based on a company agreement between an employer and a group of workers or sectoral distinctions. Employment contracts should also be distinguished from agreements with independent contractors. Free Guide to the Fair Work Act DownloadFor advice on negotiating a company agreement and other useful information, fill out the online form below to request free advice with an Employsure industrial relations specialist. Negotiations can take many weeks or months. It requires a lot of research, meetings and discussions with employers, workers and negotiators. Before the process begins, employers must inform employees of their intention to negotiate and give them sufficient time to find a suitable negotiator. Some employees are not covered by a bonus or company agreement. For these workers, a national minimum wage regulation provides a minimum wage safety net.