AIRC's award variation powers limited

Cases

AIRC's award variation powers limited

A Full Bench of the AIRC has confirmed that the AIRC’s powers to vary awards, other than as part of the rationalisation or simplification processes, is limited to circumstances where variation is essential to the maintenance of a minimum award safety net.

WantToReadMore

Get unlimited access to all of our content.

A Full Bench of the AIRC has confirmed that the AIRC’s powers to vary awards, other than as part of the rationalisation or simplification processes, is limited to circumstances where variation is essential to the maintenance of a minimum award safety net.

The case concerned an application by ECA Training Pty Ltd trading as NECA Group Training (ECA), pursuant to s558 of the Workplace Relations Act 1996, to become bound by the National Electrical, Electronic and Communications Contracting Industry Award 1998.

Legislation confines AIRC's powers

The Full Bench noted that if the Parliament had intended a variation to bind additional employers and/or employees or new organisations to extend to incidental or machinery variations, it would have included a provision similar to s522 to that effect.

The Full Bench also noted that within s558 (3)(b) of the Act the discretion to vary an award to bind an employer and its employees arises only upon satisfaction that the award is appropriate to regulate the terms and conditions of those employees:

'This suggests that the appropriateness of the award is to be assessed prior to the variation, by reference to the existing terms and conditions applied by the award ...

'In our opinion, the Commission has no power to order those variations …'

ECA Training Pty Ltd t/as NECA Group Training [2007] AIRCFB 368 (9 May 2007)

Related

Awards to be reviewed under WorkChoices legislation

  

 

Post details