FirstIR update -Options in Response to Pandemic
Varying an Enterprise Agreement
The NSW government has announced it intends to leave the social distancing rules in place now for at least three months until June 30th. That means for many companies, it will be impossible to operate normally and comply. Other jurisdictions are likely to be in the same boat sooner or later. Normal business is going to be difficult to sustain for those that have not already ceased operations. For those that are operating now, but concerned that time is against them, there are measures that may be taken to alleviate some pressures.
Some employers have enterprise agreements which pre-scribe terms and conditions that won’t be sustainable in the short to medium term given the dramatic drop in trade and commerce that has occurred and looks likely to get worse. If there were some relief from those conditions, the business may be able to sustain the downturn without resorting to stand downs or redundancies, or at least keeping those to a minimum. There is a mechanism to reduce terms and conditions in agreements, by agreement with employees, that if introduced, could save businesses and jobs.
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