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5 Things You Must Remember When Making An Award Flexibility Agreement

Given that phasing in provisions for modern awards are due to begin on 1 July 2010, I thought now would be a good time to remind you about award flexibility agreements.

Just to recap, making an award flexibility agreement allows you to agree with an employee to vary the way the terms in a modern award apply to them. For example, you can agree with an employee to pay them different rates to those set out in the award.

But remember, the variations you set out in an award flexibility agreement cannot disadvantage the employee.

When making an award flexibility agreement, make sure you have done these 5 things:

  • Ensure you do not force the employee to make the agreement.
  • Make sure the agreement does not disadvantage the individual employee in relation to their terms and conditions of employment.
  • Ensure the agreement is in writing.
  • Ensure the agreement is signed by the employer and the employee (and, if the employee is under 18 years of age, the employee’s parent or guardian).
  • Give the employee a copy of the agreement and keep the agreement as a time and wages record.

For more information on award flexibility agreements, check out the Modern Awards chapter in your copy of the Employment Law Practical Handbook.

Not yet a subscriber to the handbook? Click here for more information.

Regards,

Charles Power

Charles Power
Editor-in-Chief
Employment Law Practical Handbook

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