MOST employers are aware that the Western Australian Industrial Relations Commission may grant an enterprise order where negotiations on terms and conditions between an employer and have union have broken down.
However, there has been little practical guidance for employers about the process of granting an EO and the implications for their operations.
In this regard recent WAIRC decisions provide several principles. The WAIRC can only grant an EO if one party refuses to bargain for an industrial agreement or bargaining does not lead to an agreement and the party applying for the EO has bargained in good faith.
To avoid the matter going directly to a hearing about the merits of an EO, employers should consider indicating their willingness to bargain when served with a bargaining notice.
Negotiations can be used to secure agreement on key terms and conditions and employers should keep records of the results of each round of negotiations.
Employers can apply for Eos where there is difficulty in reaching an agreement on all terms and conditions – employers do not have to wait for employers to make the first move.
During the application for an EO, employers are more likely to succeed on key terms and conditions if they can porove the unions agreed to those key terms and conditions during negotiations or if there is a history of similar terms and conditions in that enterprise.
Sean Redden
9429 7618