An enterprise agreement and an award are two different legal documents that set out the terms and conditions of employment for employees. These documents have a significant impact on roster preparation, and it’s essential to understand the differences between the two.
An enterprise agreement is a legal document negotiated between an employer and their employees or their representative union. It sets out the terms and conditions of employment, including pay rates, working hours, and leave entitlements. For roster preparation, an enterprise agreement can provide more flexibility in terms of the number of hours an employee can work and the length of shifts. It is essential to note that enterprise agreements vary between organizations, and not all enterprise agreements provide greater flexibility.
On the other hand, an award is a legal document that sets out the minimum terms and conditions of employment for specific industries or occupations. Awards are created by the Fair Work Commission (FWC), and they are binding on all employers and employees covered by that award. For roster preparation, an award will set out the maximum number of hours an employee can work each day and week. Awards also have specific rules regarding overtime, penalty rates, and shift allowances.
When it comes to preparing rosters, an enterprise agreement can be more beneficial than an award. Enterprise agreements are often more specific to an organization`s needs, allowing for greater flexibility in the scheduling of staff. For example, an enterprise agreement may allow for longer shifts or fewer days off, which can be useful in industries where there is a high demand for staff during certain times of the year.
However, it is important to note that enterprise agreements must still comply with the National Employment Standards (NES), which sets out the minimum entitlements for employees. This means that an enterprise agreement cannot provide less than the minimum entitlements set out by the NES.
In conclusion, an enterprise agreement can provide more flexibility in roster preparation compared to an award. However, it is essential to ensure that the enterprise agreement complies with the minimum entitlements set out by the NES. If you’re unsure about which document is most appropriate for your organization, it’s best to seek advice from an experienced HR consultant or lawyer.