Analysis of Employment Operations for Organizational Effectiveness

This report examines the key features distinguishing enterprise agreements from modern awards, highlighting their roles within the National Employment Standards. It details enterprise bargaining, outlining the negotiation processes between employers and employees, and the legal framework provided by the Fair Work Act 2009. The report explains the structure and subtypes of enterprise agreements, including single-enterprise, multi-enterprise, and Greenfields agreements. It also covers collective bargaining, the role of modern awards in setting minimum entitlements, and the importance of workplace agreements in establishing terms and conditions of employment. The report analyzes the processes involved in creating and registering agreements, emphasizing the significance of these agreements in shaping workplace rules, employee wages, and working conditions. The document explores the impact of bargaining power on employee rights and organizational effectiveness.

Running Head: EMPLOYMENT OPERATIONS FOR ORGANIZATIONAL EFFECTIVENESS
EMPLOYMENT OPERATIONS FOR ORGANIZATIONAL EFFECTIVENESS
NAME OF THE STUDENT
NAME OF THE UNIVERSITY
AUTHOR’S NOTE

1EMPLOYMENT OPERATIONS FOR ORGANIZATIONAL EFFECTIVENESS
Q. What are the main features that distinguish enterprise agreements from modern
awards?
The modern awards are in effect even though there exists the National Employment
standards (NES). The modern awards are a profession-based analysis. There is a demand for
propelled respect by some organizations and it is used to incorporate all the employees under a
department. In the fundamental aspect, gifts set the basic standards which the business in a
industry is allowed to pay the employees for the work and services they provide. Overall, it is at
the discretion of the agents at the solitary industry or the manager to set and compare the
conditions of business and wages. As being opposed to the propelled respect, the agreements are
formulated to enable the agents’ a right to earn the minimum standard wages and salaries and
defines the terms and conditions of the work. The imperative modern award is not equal to the
wages which are set aside in an enterprise agreement.
The agreements which involve the outcome of the deal between the different national
industrial employers and employees is referred to as the Enterprise agreement. The Enterprise
Agreement is formulated when the concerned parties negotiate amongst themselves using
collective bargaining, which is generally done in good faith. According to the fair Work Act,
2009, an enterprise can be defined as any kind of a business or an activity or even a planned
undertaking. The agreements which are used to set out terms and conditions which guide
employment and those agreements which are signed by the employee and the employer are
known as the registered agreements.
There are 2 categories under which the enterprise agreements are placed under the
national workplace regulations system. These are-

2EMPLOYMENT OPERATIONS FOR ORGANIZATIONAL EFFECTIVENESS
1. Agreement-based transitional instruments
2. Enterprise agreements
On the other hand, an award is a standard of the slightest present-day terms and
conditions which is applied to a specified area of social affairs of the delegates. The security
provided by the award to the delegates depends on whether they fit into the occupations which
are secured by the award. The re-organization of the old state and government systems of
awarding the employees have resulted in the evolution of the modern-day awards and these
awards became effective for public use from 1 January 2010.
The administrators and the agents can make a collective bargaining agreement which has
the power to discard conceded terms, has provided by the Fair Work Act. The undertaking must
be put into effect by the voting of the members and it must be maintained by the members
involved. There are numerous systems which support such agreements and these systems need to
be enrolled in the Sensible Work Commission. The AWAs which was a type of Particular
workplace understanding and was used to remove the awards is no longer possible while the
show day gifts which allows the Solitary Versatility agreements acts as a viable substitute.
The endeavor agreement makes it possible to change altogether the distinct classes of
leave or the hours of pay by analyzing the framework of the agreement through the Better of
Overall Test (BOOT) method. The employees need to have a clear framework as to what will be
the general pay rates and what will be the additional pay rate based on additional work done. If
the employees work for long duration and no additional allowances are given to them, then the
general pay rates must be increased to respect and acknowledge the efforts of the employees.

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The organizations can clearly mention the social affairs with huge business agreements or can
comprehend the details with the workers in a clear manner.
Modern awards establish the minimum eligibility criteria for the employees to be able to
obtain entitlements. All the employees who are employed in the industry are eligible for modern
awards. The only exception is the employees come under the enterprise agreement. The scenario
wherein the employees were covered under the enterprise agreement, but the agreement ceases to
exist, then the employees will again be eligible for modern award again. The modern awards
include the criteria for the employees to follow so that they can ascertain the entitlement s which
they are supposed to get from the industry. In Australia, there are about 122 modern awards
covering most of the occupations and the industrial activities. The entitlements which are less
than the National Employment Standards (NES) and offer less benefits to the employees are not
included in the Modern awards. There is a total of 10 minimum standards relating to employment
which are included in the accounting of the National Employment Standards (NES) and it is
applicable to all the employers and the employees who are covered under the Fair Worker Act of
2009. The Modern awards addresses the following issues such as the minimum wage rates, the
penalty rates which are to be included for overtime and weekend work, the decision regarding
leaves and the allowances to be paid. The modern award is applicable to all the employees who
are employed in the industrial activities although it sometimes becomes difficult for the
ascertainment of the enterprise agreements in the long run. According to the Fair Work Act of
2009, the modern awards are the documents which are legally written outlining the minimum
wage rate and the conditions of the employment to be followed by the employers. There are in
total about 122 industries in Australia which are covered by the Modern awards in Australia.
The Modern Awards makes the entitlements such as the pay, the hours of work.

4EMPLOYMENT OPERATIONS FOR ORGANIZATIONAL EFFECTIVENESS
Q. What does the process of enterprise bargaining entail?
The Enterprise Bargaining involves the process of negotiating amongst the employers
and the employees along with the bargaining representatives who have the objective of
formulating an enterprise agreement. The framework for the organization about the rules and
obligations and how the process is to be done, which includes the rules regarding bargaining, are
stated under the Fair Work Act 2009. The Fair Work Act 2009 also enumerates the content of the
enterprise agreements and how the agreement is to be made and approved by the concerned
organizations. An agreement is the registered legal document which frames the terms and
conditions relating to employment. This agreement usually happens amongst the employees and
one or more employers. According to the framework set by the national workplace relations
system, there exists two different subtypes of agreements. These are 1. Enterprise agreements 2.
Agreement-based transitional instruments. The agreement based transitional instruments also
includes the various types of individual and groups of agreements which could have been framed
before 1 July 2009 under the various Workplace Relations Act of 1996. The Act also includes
the Individual Transitional Employment Agreements (ITEAs). There are various agreements
which exist under the Agreement-based transitional instruments such as the collective
agreements, the Australian Workplace Agreements (AWA), the pre-reform certified agreements,
the Individual Transitional Employment Agreements (ITEAs), the preserved individual and
collective state agreements. There are various specifications in the enterprise agreement which
enumerates the different clauses between one or more than one national system employers and
their employees. The enterprise agreements come into existence because of the collective
bargaining process of the parties involved in the enterprise level. These collective bargaining are
done by upholding the intent to sincerely instill true faith in the industrial system. The Fair Work

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Act of 2009 states that the following new types of enterprise agreements can be formulated such
as – 1. Single-enterprise agreement and 2. Multi-enterprise agreement 3. Greenfields agreement.
The Single-enterprise agreement is an agreement formulated amongst the single employer or
more than one employer and the employees. The agreement is formulated at the time of
employing the employees. The single interest employers include those employers who are
presently in the joint venture or any common enterprise (Pekarek et al. 2017).
The process of negotiation amongst the managers and the representatives which are
targeted to reach an agreement regarding the employee wage rates, conditions for work, benefits
is known as the collective bargaining. The collective bargaining process includes the
presentation of the employee issues by the agents of the trade association. The main emphasis of
holding a discussion during a collective bargaining is to address the employee issues regarding
the wages, hours of work, security of job, right to be involved in a workplace and the
undertakings of the company.
The purpose of an association is to hold consultations with the company head or leader or
in some cases, discuss with other companies the employee issues which afflicts the employees
and the workers. An agreement between a company with other associations or companies is
known as a Collective Agreement. The issues concerning the grievances of the workers are
enumerated under the Collective Bargaining and it is defined as the deal which takes place
between the association representatives and the company. The various issues such as the wages,
hours of working, work conditions, privileges are discussed and addressed by the Collective
Bargaining. The main motive of the meetings is to arrive at a conclusive agreement in the form
of a collective bargaining agreement (CBA) or in the form of a collective employment agreement
(CEA).

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All the human rights conventions accept and acknowledge the right to general bargaining.
The ability to cope with trading relationship is a fundamental human right and is enlisted in the
Article 23 of the Universal Declaration of Human Rights (Bailey and Peetz 2014). The
adaptability of the alliances affirming the reaping of the benefits accrued to the total managing is
a major right and is enumerated under the International Labor Organization’s Declaration of the
Fundamental Principles and Rights at Work in the Item 2(a). The meddling in the laws relating to
the workers by the various countries and which ultimately ends up in the neglect and
discrimination of the workers are scrutinized by the Adaptability of Association and Security of
the Benefit to Create Custom, 1948 (CO78) (Qureshi 2015). The Overwhelming Court of Canada
in June 2007 looked into the strategy for thinking and reviewed the total arguments in the human
right for the workers.
The bargaining of the employees regarding their establishment of the flexibility of the
workplace, proper understanding and framing of the workplace rules, and a reassessment of the
sense of control regarding the work is considered as an important business aspect and the
benefits are directly affecting the workers. Total wheeling and dealing is very much essential as
an association in self-government as well as looking for the outside terminations. Achieving the
administrative powers in the workplace as well as to ensure the rule of law in the workplace is
the aim of the Awards. Workers are provided a chance to influence the framing of rules and
regulations regarding the workplaces due to the bargaining powers.
The working conditions are presided over by the Enterprise agreements and various other
controlled understandings which are applicable to
 the organisation

7EMPLOYMENT OPERATIONS FOR ORGANIZATIONAL EFFECTIVENESS
 A social group of associations or employees
After the organization arrives at an agreement, the employees are not given any relevant
information except;
• the basic salary and remunerations
• application of the National Business Standards
• The terms and conditions of the workers which are applicable to them
Enrolled agreements are working in effect as soon as the agreements are formulated.
Depending on the impact of the business needs, the decision needs to be taken regarding the
setting up of workplace association. The supervisors can alter certain terms and conditions for
the employees who occasionally miss the targets set for them and provided the employees are in
a weak economic and financial situation. These are possible due to the formal setting up of the
workplace understandings (Kavanagh and McRae 2017). The dairy agriculturists because of the
non-standard hours of their work are greatly benefitted.
The point of reference is the only aspect wherein the workplace agreement differs due to
the difference in the working ways of the business law contracts. These include;
• A workplace understanding is defined as formally developed report brought
into existence by the law enumerating terms and conditions.
• A workplace agreement incorporated formally with an authority.
• A workplace agreement can differ with certain other aspects of the workers.
• Certain documents must be allocated to the delegates to scrutinize the working
of the workplace rights

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Certain documents need to be provided to the delegate to assess their rights and duties in
the workplace and failure to comply with the rules must be addressed immediately.
Q. What legal obligations and rights need to be observed by employers and employees
when negotiating an enterprise agreement?
There are various legal obligations and rights which needs to be observed by the
employers and the employees during the negotiation of the enterprise agreement. Australia
unlike the European countries had never had the system of representation of employee system at
the level of enterprises. In the early part of the 1990s the conciliatory and arbitrary setup
operated under the principal framework for analyzing the wages and conditions of the
employees. Between the early 1990s and the 2006, the conciliatory and arbitrary aspects were
covered up by the shift to do bargaining at the enterprise level (Oliver 2016). The enterprising
agencies are set up with the intention to safeguard the employees and address their concerns in
the workplace so that their issues and concerns can be addressed by the hiring agencies. The
procedure for setting the agreement must include the provisions and the guidelines stated under
the Fair Work Act of 2009 as well as fall in line with the standards set under the International
Labour Union (Shaw, McPhail and Ressia 2018). Any form of discrimination at the workplace
must be addressed properly by the hiring agencies and the issues and discrepancies which arise
as a result of the conflict of interest among the two groups can be sorted out by the assistance
and guidance of a mediating body or as commonly referred to as the Ombudsmen. The Fair
Work Ombudsmen resolves the dispute and issues accruing between the two bodies. The laws
passed by the Government of Australia must be thoroughly studied to frame the enterprise
agreement. There exists certain framework which are established by the international bodies
(Walpole 2016). The international bodies such as the United Nations, The International Labor

9EMPLOYMENT OPERATIONS FOR ORGANIZATIONAL EFFECTIVENESS
Organisation, the International Monetary Fund as well as the various Trade Unions and the
Labor Unions have set up guidelines regarding the establishment of the minimum guidelines
which are to be followed while setting up the Enterprise Agreements (Harben 2017). These
guidelines ascertain the criteria to uphold and respect the dignity of the employee, the minimum
wage rate, the eligibility criteria for hiring the employees and action to prevent the
discrimination of women at the workplaces (Thomason 2018). These guidelines are to be set up
under the framework of the Enterprise Agreement. The enterprise agreement also has a detailed
framework for enabling the employer and the employee to understand each other and respect
each other’s concerns regarding the business and working aspects. The collective agreements
benefit both the parties, such as the employers and the employees. The essence of following the
guidelines during the framing of enterprise agreement is that the employees are safeguarded from
the malpractices which can adversely affect them (McCrystal 2014). The employers also have a
legal document which can legally bind the employees to follow the rules and regulations of the
current organization. The employers are made to accept the minimum wage rate which are to be
provided to all the employees.
Modern awards differ from enterprise agreement (Oliver and Walpole 2018). The
employees have the right to know as to what type of award guides the contract or the kind of
enterprise agreement wherein the employee has entered during the time of joining the enterprise.
The employees should also be aware about the new changes in the bargaining process. The Fair
work act (2009) which monitors the relationship amongst the employees and their employers as
well as the bargaining representatives should work in tandem with the agreement. The
professional work measures which are in effect alongside the National Employment standards
(NES) and which functions as a legally binding document stating the minimum salaries and the

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terms of employment are defined as the modern awards They connect both the organizations as
well as the employees and the type of work which is done, and the industry involved, both
affects them. The awards consist of the important information such as to whom the award
provides coverage, the clauses, job details and the schedule. The award is not applicable when
the business has a registered agreement in existence.
In the context of business, the agreement can be defined as a combination of mutually
determined conditions amongst the employee and the employer with the objective of making an
enterprise agreement (Smith 2016). The enterprise agreement consists of an expiry date
mentioning the end of the agreement which normally is around four years since the date of its
approval. The enterprise agreement is approved by the fair work act commission. The enterprise
agreement contains the dispute settlement process which gives authority to the fair work as well
as provides flexibility to the individuals to for making flexible agreements. It has been a norm
for one or more employee associations or unions to frame the enterprise agreement which is
designed by all the consenting parties involved (Rugman and Verbeke 2016).
The employees ae required to pass through the process of enterprise barraging before
they consent to work in a given firm. Negotiation plays a dominant part in this process and the
employees and the employers negotiate with each other to frame the enterprise agreement. The
process of framing the agreement occurs in the presence of the bargaining representatives who
are chosen bv the employees. The framing of the agreement involves the voting after which the
result is ratified by the fair work commission (Thorthwaite and Sheldon 2014). There exists a set
of legal rules and regulations which must be adhered to by both the parties during the process of
negotiating the enterprise agreement amongst the employers and the employees. A simple and
flexible framework which must be followed by this process amongst the employer and the

11EMPLOYMENT OPERATIONS FOR ORGANIZATIONAL EFFECTIVENESS
employees to negotiate a safe environment which facilitates the formation of enterprise
agreement is provided for by the Fair Work Act (Imperatori and Ruta 2015).
The process of negotiations in the framing of the enterprise agreement involves the
employer to legally notify all the employees who are affected by the enterprise to come up with
their representatives before the start of the bargaining process. The employees have the right to
legally select whosoever they prefer to represent them, and they can even nominate themselves
as the representative (Williamson, O'Donnell. and Shingles 2015). Any one party can be
represented by the representative and the representative should also be under the coverage of the
enterprise agreement. The representatives are forbidden to represent more than two persons as
this can make him to negotiate in terms of making the process more neutral.
The representatives are required, at the time of the bargaining process, to disclose every
information which relates to the financial benefits accruing to the parties. This is due to the
presence of the proposed agreement in the closure document (Zuelke and Kirwan 2016). The
proposal raised by other negotiating parties need to be considered (Cretan et al. 2018).Every
representative needs to be involved in the bargaining process with the other representatives
according to the Fair Work Act. According to the Act, all the representatives are to attend and
participate in the meetings at the stipulated time, avoid the incorporation of admissions when the
negotiating process is taking shape (Bishop 2018).
Q. What advantages and disadvantages are said to be associated with enterprise
agreements?
The agreement between the enterprises are referred to as Enterprise Bargaining
Agreement. Enterprise Bargaining Agreement is considered as a legally binging agreement