When it comes to legal agreements, one term you may come across is a « certified agreement. » This type of agreement may sound intimidating, but it simply refers to a written agreement between an employer and employee that has been approved by an authorized body.
A certified agreement is typically used in industries that have a specific award or set of awards that governs employment conditions, such as pay rates, working hours, and leave entitlements. These agreements can be made between an employer and an individual employee, or between an employer and a group of employees.
The process of creating a certified agreement involves negotiations between the employer and employees or their representatives, such as a union. Once an agreement has been reached, it must be submitted to the relevant authority for approval.
The authority responsible for approving certified agreements varies depending on the industry and location. For example, in Australia, certified agreements are approved by the Fair Work Commission, while in the United States, they may be approved by the National Labor Relations Board.
One of the benefits of a certified agreement is that it provides both the employer and employees with certainty about their rights and obligations. It also allows for more flexibility in employment conditions than what is provided for in industry awards.
However, it`s important to note that certified agreements are not suitable for all workplaces. They may not be appropriate for small businesses or industries that don`t have industry-specific awards. Additionally, certified agreements can be complex and time-consuming to negotiate and approve.
In summary, a certified agreement is a written agreement that has been approved by an authorized body. It`s commonly used in industries with industry-specific awards and provides both employers and employees with certainty about their rights and obligations. While certified agreements can be beneficial, they may not be suitable for all workplaces and can be complex to negotiate and approve.