Explanatory note
This explanatory note relates to this Bill as introduced into Parliament.

Overview of Bill

The object of this Bill is to refer certain matters relating to workplace relations to the
Commonwealth Parliament so as to enable the Commonwealth Parliament to make
laws about those matters. The proposed Act will be enacted for the purposes of
section 51 (xxxvii) of the Commonwealth Constitution, which enables State
Parliaments to refer matters to the Commonwealth Parliament.

The Bill operates by reference to certain text of the Fair Work Act 2009 of the
Commonwealth (the Commonwealth Fair Work Act) that will apply that Act (and
future amendments to that Act) to all employees other than State public sector and
local government sector employees.

The Bill also makes consequential amendments to the Industrial Relations Act 1996.

Outline of provisions

Clause 1 sets out the name (also called the short title) of the proposed Act.

Clause 2 provides for the commencement of the proposed Act on a day to be
appointed by proclamation.

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Industrial Relations (Commonwealth Powers) Bill 2009
Explanatory note
Clause 3 defines certain words and expressions used in the proposed Act. The clause
defines the subject matters of workplace relations to be referred and the matters
excluded from those referred matters. The clause also defines the scope of
employment within the State and local government sectors for the purposes of the
exclusion of those employees from the referral.

Clause 4 sets out fundamental workplace relations principles under the proposed
Act.

Clause 5 deals with the references to the Commonwealth Parliament. The references
comprise the initial reference of the text set out in Schedule 1 (to cover the
application of the Commonwealth legislation in the State), the amendment reference
(to cover future amendment of the Commonwealth legislation) and the transition
reference (to enable the transition from State to Commonwealth industrial relations
arrangements).

Clause 6 deals with matters excluded from the reference, namely State and local
government employees (including Ministers and Members of Parliament,
parliamentary staff, and law enforcement officers).

Clause 7 deals with the termination of the period of the references under clause 5
(namely, the period ending on a day fixed by the Governor by proclamation). The
clause enables the period of initial, amendment and transition references to be
terminated or only the period of the amendment or transition reference to be
terminated.

Clause 8 makes it clear that the separate termination of the period of the amendment
or transition reference does not affect laws already in place. Accordingly, the
transition or amendment reference continues to have effect to support those laws
unless the period of the initial reference is also terminated.

Clause 9 requires 6 months’ notice of the proposed termination of a reference.

However, only 3 months’ notice of the proposed termination of the amendment
reference is required if future Commonwealth legislation is considered to be
inconsistent with any of the fundamental workplace relations principles set out in
clause 4.

Schedule 1 Text to be included in the provisions of
the Commonwealth Fair Work Act
Schedule 1 sets out the relevant text of the Commonwealth Fair Work Act that will
apply that Act to employment generally in the State (other than for the State public
and local government sectors).

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Industrial Relations (Commonwealth Powers) Bill 2009
Explanatory note
Schedule 2 Amendment of Industrial Relations Act
1996 No 17
Schedule 2 amends the Industrial Relations Act 1996 for the following purposes:

(a) to provide a mechanism (authorised under the Commonwealth Fair Work Act)
by which the Minister may declare specified State or local government
employers (including certain subsidiary or related bodies) not to be national
system employers and thereby excluded from that Act (provided the
declaration is confirmed by the relevant Commonwealth Minister),

(b) to recognise the referral of power and to make transitional provision relating
to the updating of existing references in NSW Acts and instruments to State
industrial instruments or agreements,

(c) to repeal section 146A, which authorised the Industrial Relations Commission
of New South Wales to deal with industrial matters by agreement with
corporations subject to the previous federal workchoices legislation,

(d) to revise provisions that refer to the federal legislation to reflect changes made
by the Commonwealth Fair Work Act,

(e) to enable savings and transitional regulations to be made consequent on the
enactment of the proposed Act.

Note: If this Bill is not modified, these Explanatory Notes would reflect the Bill as passed in the House. If the Bill has been amended by Committee, these Explanatory Notes may not necessarily reflect the Bill as passed.

 

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