On 2 December 2022, the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amendment Act) was passed by the Commonwealth Parliament and received Royal Assent on 6 December 2022. The Amendment Act introduces major changes to the Fair Work Act 2009 (FW Act) and other laws, particularly in relation to enterprise bargaining.
One change is the automatic termination (or ‘sunsetting’) of so-called ‘zombie agreements’, i.e. agreements made before 1 January 2010. All ‘zombie agreements’ will automatically cease to operate on 7 December 2023 (unless this period is extended by the FWC for a particular agreement).
Employers must give written notice to each employee covered by the affected agreement that the agreement will sunset, including information about the timing and the FWC’s role in extending the default period. Employers must provide the required notice by no later than 6 June 2023; failure to do so is a breach of a civil penalty provision.
This sample letter is to assist employers to provide notice as required by the Amendment Act.
Ai Group’s Workplace Advice Line (1300 55 66 77) can assist members with questions about enterprise agreements and the Amendment Act.
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