What it does
Mechanically, this Act refers specified workplace relations matters from the State to the Parliament of the Commonwealth so that those matters can be dealt with by the Commonwealth Fair Work Act 2009 (the Commonwealth Fair Work Act). The reference operates in three parts: an initial reference, an amendment reference and a transition reference (defined in s 3) and each is expressed in s 5(1). The initial reference incorporates the scheduled text set out in Schedule 1 into the Commonwealth Fair Work Act, "in the terms, or substantially in the terms, set out in the scheduled text" (s 5(1)(a)). The amendment reference permits the Commonwealth to make express amendments to the Commonwealth Fair Work Act in relation to the referred subject matters (s 5(1)(b)). The transition reference permits the Commonwealth to make laws required for the transition from earlier Commonwealth workplace laws or State laws to the Commonwealth Fair Work Act (s 5(1)(c)), with specific mention of the Workplace Relations Act 1996 and the Fair Work (Transitional Provisions and Consequential Amendments) Act 2009 (see definition of "referred transition matters" in s 3).
The effect is a transfer of legislative capacity for the listed subject matters from the State to the Commonwealth, limited to the extent set out in s 5(2): a reference only has effect if the matter is not already within the Commonwealth’s legislative powers except by way of a section 51(xxxvii) referral, and only if the matter is included in the State’s legislative powers (s 5(2)). The Act specifies what subject matters are and are not included in the reference. "Referred subject matters" are defined broadly to include minimum employment standards, bargaining (including enterprise bargaining), terms and conditions in awards and agreements, unfair dismissal, industrial action, rights of entry and rights to records, sham contracting and other matters listed at s 3. At the same time the Act explicitly excludes a long list of "excluded subject matter" items in s 3, including superannuation, workers compensation, occupational health and safety, long service leave, child labour, workplace surveillance and business trading hours among others. Several specific State categories are carved out by s 6: Ministers, Members of Parliament, judicial officers and tribunal members; public sector employees (and those defined as officers under the State Service Act 2000); personal staff of Ministers and members; certain parliamentary officers; and police officers and certain constables (s 6(a)-(f)).









