Enterprise Agreement Scope Orders

An employer operates five organizationally different units within their company. The employer has concluded an agreement with all workers in two organizationally different units as well as with ten employees who are the only non-unionized within the . another organizational unit, which employs a total of 30 people. The Commission must decide whether the group of workers covered by the agreement should be chosen fairly. A scope order concerning a proposed agreement concerning an undertaking shall enter into force on the date of its adoption. John Holland Pty Ltd (the employer) applied for authorisation of a company agreement which, at the time of the application, would have been for only three employees. It contained a scope that stipulated that the agreement covered all the employer`s workers, but not workers covered by a project- or site-specific agreement. During the oral proceedings on the application for a scope injunction, NUW argued that the negotiations were not effective or fair because the parties were disputing the extent of the scope of the company agreement for which they were negotiating. Scope orders are a way for Fair Trade Australia to resolve coverage disputes in collective bargaining. A Scope order does not stop working at the earliest below: this seems to conclude that if the proposed staff coverage is related to the geographical, operational or organizational distinction of employees, this is an issue that tends to support the conclusion that the coverage group is chosen fairly.

Conversely, it may also mean that, in certain circumstances where the proposed agreement ignores workers` coverage, the conclusion that the group was not chosen fairly is easier to conclude. (These ideas are supported by the FWA Full Bench`s revised decision below.) The voting process is an important part of corporate negotiations. This process allows all staff members covered by the proposed agreement to accept or not approve the negotiated working conditions. The process leading to a Scope command request should include the following steps. Where a negotiator is in favour of a proposal for a single undertaking agreement (with the exception of an agreement in the green grasslands), the Commission has approved the company agreement at first instance. The CFMEU appealed this decision and the appeal was upheld by Full Bench. . . .

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