Notional Agreement Preserving State Awards (NAPSA)

A Notional Agreement Preserving State Awards (NAPSA) is a transitional federal instrument that came into operation on 27 March 2006 to cover an employee previously employed either under a state award, and to whom certain state industrial laws, eg annual leave, applied.

Definition
 
A Notional Agreement Preserving State Awards (NAPSA) is a transitional federal instrument which came into operation on 27 March 2006 to cover an employee:
  • previously employed either under a state award, and
  • to whom certain state industrial laws, eg annual leave, applied.
A NAPSA includes the conditions from both the state award and the state statute which governed the employee’s employment immediately before 27 March 2006.
 
From 1 January 2010, a NAPSA ceased to apply to an employee whose duties are covered by a modern award. Where a modern award does not apply, the employee will continue to be covered by the applicable NAPSA.
 
Terminating NAPSAs
 
Under Item 3 of Schedule 5 of the Fair Work (Transitional and Consequential Amendments) Act 2009 [Cth], Fair Work Australia can terminate modernisable instruments, such as NAPSAs. A Schedule of the NAPSAs, pre-reform awards, Australian Pay and Classification Scales (APCS) and State reference transitional awards to be terminated is usually attached to the decision. See Termination of Instruments [2011] FWA 5261.
 

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