Most employers and employees in Australia are covered by the Fair Work industrial relations system. It is a national system meaning that the laws can govern employees and employers across all states and territories. Some employers and employees such as public servants employed by state and territory governments are not covered by the national system and must refer to the relevant legislation in their state or territory.

The law that governs the national system is the Fair Work Act 2009 (Cth). This Act encompasses a range of conditions, obligations and entitlements. Any contract of employment for full-time or part-time work, enterprise agreement or modern award must contain conditions that are equal to or better than the 10 minimum National Employment Standards (the NES) entitlements.

Modern awards apply to specific industries or occupations. They are documents that set out the terms and conditions that apply to specific occupations or industries. For example the Aged Care Award 2010 outlines the terms and conditions specific to most people who work in the aged care industry. Modern awards usually provide terms and conditions that are equal to or in addition to the NES. Overall the conditions in modern awards cannot be less than the NES. If a modern award covers your job title and there is no other enterprise agreement at your place of work the conditions in the modern award will govern your employment.

Generally each year the Fair Work Commission announces an increase in the national minimum wage due to increases in the cost of living. In 2014 the national minimum wage was increased by 3% to $640.90 per week or $16.87 per hour.

You will be protected from unfair dismissal by the Fair Work Act if:

• you have been working more than 6 months with an employer as a permanent employee;
• You are a casual employee working regular and systematic hours; or
• if you are an employee of a small business with less than 15 employees and have worked more than 12 months.

If you are dismissed for reasons that are harsh, unjust and unreasonable you can lodge an unfair dismissal claim with the Fair Work Commission. The claim must be made within 21 days of the date your employment is terminated.

The law puts in place provisions to protect workplace rights such as:

• making a complaint or inquiry;
• exercising the right to take paid or unpaid parental leave;

• freedom of association;
• protection from workplace discrimination; and
• the provision of effective relief for persons who have been:
  • discriminated against;
  • victimised; or
  • have experienced other unfair treatment.

Some employers register an enterprise agreement at their workplace that replaces any relevant modern awards. An enterprise agreement contains employee terms and conditions for employees that are covered by the agreement within the enterprise or business. The agreement must be better off overall than the NES or the modern award and the rate of pay cannot be lower than the minimum wage. The Fair Work Commission determines whether the enterprise agreement is ‘better off overall.’

The National Employment Standards (the NES) together with the modern awards and the national minimum wage make up a safety net of entitlements for employees within the national system. Some employers and employees are not yet covered by the Fair Work Act. These employers and employees are covered by their relevant state and territory systems so their rights and obligations will differ according to each state and territory.

This Legal Guide on Employment and Industrial Relations Law provides employees and employers with information about their rights and obligations within the national system. Before making important decisions it is advisable to obtain legal advice specific to your situation. LegalEagle’s™ free directory profiles all lawyers in Australia. You can use it to Find a Lawyer near you.

Please select from our Articles, FAQ and Questions & Answers sections all written by experienced lawyers. Our Glossary helps explain the meaning of any words you are unsure about. You can also Ask a Lawyer a question yourself. It is free and anonymous.

Warning: Information provided through LegalEagle™ is for general guidance. It is not legal advice. Laws and procedures referred to may change and differ between states, territories and nationally. There may also be important exceptions or qualifications. Only a lawyer providing formal legal advice can assess your particular circumstances to determine how the law will apply.