b'OTHER LEGISLATION CHANGESAGREEMENTS - NEWMODEL TERMSWhen: 26th February 2025 Dispute ResolutionThe dispute resolution model term retains theWhat it is:requirement that disputes should first be resolved atThe Fair Work Commission published a Decision the workplace level before being escalated.determining new model clauses for enterprise However, employees can now advise their employeragreements and they include: of a representative rather than formally appointingone, making the process less bureaucratic. model flexibility termIf a dispute remains unresolved, either party canmodel consultation termsrefer it to the FWC, which will act as themodel dispute terms independent dispute resolution body.A new Clause 6 empowers the FWC to interveneearly in exceptional circumstances, such as: Urgent or significant disputesSituations requiring interim relief (e.g., toWhats Changing?: prevent adverse action)Individual Flexibility Arrangements (IFA) Cases where one party delays or avoidsThe IFA model term now requires employers to workplace-level resolutionprovide a written proposal before an agreement is Jurisdictional complexities or impracticality ofmade. resolving the matter internally.If an employee has limited English skills, the employer The reasoning behind these new model terms ismust take reasonable steps to ensure they understand explained in the Explanatory Memorandum as:the terms.The amendments would be compatible with andIFAs can now only be entered into after employment promote the right to just and favourable workingbegins, preventing pre-employment agreements that conditions of work and collective bargaining. may disadvantage employees. The amendments empowering the FWC toEmployees also have the right to request a meeting to determine the model terms for enterprisediscuss the IFA, which the employer must grant.agreements and copied State instruments requireAn IFA can still be ended by mutual agreement at any the FWC to consider best practice workplacetime, but now must have a fixed 28-day written notice relations and whether all persons and bodies haveperiod for unilateral termination, rather than the had a reasonable opportunity to be heard and makeprevious vague no more than 28 days requirement. submissions before making the determinations. It isintended that this would ensure the ongoingConsultation on Workplace Change relevancy of the model terms as well as facilitatingThe consultation on workplace change model term has greater public consultation in the determination ofbeen revised to clarify when the duty to consult arises. the model terms.Consultation is now required once a definite decision In mandating considerations of best practicehas been made about a major workplace change or workplace relations and public participation in thechanges to rosters and ordinary hours of work, rather process of determining model terms, individuals arethan at the proposal stage. empowered to participate in the determination ofEmployers must now provide reasons or justification up-to-date and relevant terms that may form part offor the change and must genuinely consider employee the terms and conditions of their employment. Infeedback before proceeding. doing so, the amendments support the right to justEmployees can also nominate a representative, and and favourable conditions of work.employers are required to recognise their role indiscussions. Additionally, employers must now communicate theoutcome of the consultation process to bothemployees and their representatives.Practical Tips for Employers:1) Be conscious of the increasing requirement from the FWC that changes and decisions impacting on employeesrequire consultation with the employee. Even without this, best practice tells us a 2-way conversation with anemployee about things that impact them increases the likelihood of buy-in and acceptance.2) If entering into an EA, use the new model terms to ensure smooth approval through the FWC. Page | 16 IR Update July 2025'