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Home > The Meaning of Employment Law

The Meaning of Employment Law

 

Employment law in Australia has traditionally been centred around the law of contracts and around industrial relations laws which were set up to regulate ‘relations’ between employers and employees. Both the Commonwealth government and the States have the power to make laws in this area and all have done so over the years, making for a complicated system.
There has been major change to employment law in the last few years. On 27 March 2006, the Coalition Commonwealth government's Workplace Relations Amendment (Work Choices) Act 2005 commenced, with the intention of taking over the jurisdiction of the States in relation to the industrial relations of constitutional corporations.

On 24 November 2007, the Labor Party won government from the Coalition, and the new government has made it clear that it considers that it has a mandate for the following changes to the industrial relations system:

  • Abolishing AWAs, but respecting existing contractual arrangements
  • Providing 10 National Employment Standards
  • Creating a new unfair dismissals system
  • Continuing the process of simplifying and modernising some 4,300 awards
  • Limiting the ability to take protected industrial action to bargaining periods, supported by a mandatory secret ballot and prohibiting industry wide strikes
  • Retaining existing right of entry arrangements
  • Creating a new employment ‘umpire’ – Fair Work Australia.

To date, legislation to effect the first two points above has been passed with the balance of the changes not expected to commence until 1 January 2010.


Yes, if it’s a trading, foreign or financial corporation. Such corporations are called ‘National System Employers’ (or previously 'constitutional corporations').

An overview of main features of the Federal Workplace Relations system legislation is provided here.

What if we are not in the Federal Workplace Relations system?

If your organisation is not a National System Employer, the applicable State industrial relations laws will apply to your organisation. There are however, some provisions of the Federal Workplace Relations System legislation (including unlawful termination) that are still applicable to your organisation, and so it is important that you give proper consideration to these laws. If unsure of your obligations, you should seek advice.

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