What it does
The Industrial Relations Act 1996 (NSW) establishes a comprehensive statutory framework for the conduct of industrial relations within New South Wales. Its primary function is to provide machinery for the making and variation of awards (s.10) and the approval of enterprise agreements (Part 2 of Chapter 2), both of which set legally enforceable minimum conditions of employment. Awards are made by the Industrial Relations Commission on application or its own motion (s.11) and bind all employers and employees in the relevant industry (s.12). They must contain mandatory dispute-resolution procedures (s.14) and are subject to periodic review every three years to modernise terms, remove obsolete provisions, and promote productivity (s.19).
Enterprise agreements, by contrast, are workplace-specific instruments that prevail over awards to the extent of any inconsistency (s.41). They require Commission approval against a “no net detriment” test when compared with the relevant award (s.35(1)(b)) and must be supported by a secret ballot of at least 65 % of the employees to be covered (s.36(4)). The Act also supplies default minimum standards in areas not covered by awards or agreements, most notably the detailed parental-leave regime in Part 4 of Chapter 2 (ss.53–72), which confers 52 weeks’ unpaid leave, a right to return to the pre-leave position (s.66), and protection from dismissal on grounds of pregnancy or parental leave (s.68).
Dispute resolution is a central pillar. The Commission is required to attempt conciliation before arbitration (s.133) and may issue dispute orders, including reinstatement, stand-down, or cessation of industrial action (s.137). The Act expressly prohibits strike pay (s.143) and regulates the lawfulness of industrial action during conciliation (Part 3 of Chapter 3). In the public sector, the Act preserves a distinct disciplinary-appeals jurisdiction (Part 7 of Chapter 2) while integrating it with the Commission’s general powers.
