Awards, workplace instruments and bargaining

Information for early childhood education and care (ECEC) providers about awards, workplace instruments and bargaining.

On this page:

Awards

The modern awards set out minimum pay rates and conditions of employment.

There are 2 primary modern awards that cover the ECEC workforce:

  • Children’s Services Award 2010, which covers educators
  • Educational Services (Teachers) Award 2020, which covers early childhood teachers.

Every year, the Fair Work Commission reviews the minimum rates of pay in modern awards to decide if they should be increased. This is the annual wage review.

The Fair Work Commission is currently undertaking a process to examine five modern awards, including the Children’s Services Award 2010. This is the gender undervaluation priority awards review

The Fair Work Ombudsman provides more information about awards

Workplace instruments

Workplace instruments are defined in the Fair Work Act. They are legally enforceable and set out the terms and conditions of employment. 

Some examples are outlined below. This is not an exhaustive list.

We will assess whether a particular workplace instrument meets grant conditions on a case-by-case basis. 

Providers may wish to obtain legal advice when applying. We cannot provide legal advice.

An enterprise agreement

An enterprise agreement is a workplace instrument tailored to the needs of that workplace (the enterprise). They can be made between: 

  • one employer and their employees (single-enterprise agreement) 
  • 2 or more employers and their employees (multi-enterprise agreement).

The Fair Work Ombudsman provides more information on enterprise agreements

An individual flexibility arrangement

This is a formal written agreement between an employer and an individual employee. It’s often called an IFA.

An IFA varies the effect of an award or registered agreement on an individual basis to meet the genuine needs of the employer and employee.

The Fair Work Ombudsman provides advice on individual flexibility arrangements

State industrial instrument

A state industrial instrument is an award, enterprise agreement, or another type of agreement under state or territory industrial law.

Supported bargaining

Bargaining is when employers and employees negotiate the terms and conditions of employment. It’s done with the goal of forming of an enterprise agreement. During bargaining, employees can be represented by representatives like unions.

On 6 June 2023, bargaining reforms under the Secure Jobs, Better Pay Act came into effect. This amended the Fair Work Act 2009 and placed gender equity at the heart of the workplace relations system. 

The amendments mean Fair Work Commission can provide greater access to bargaining for lower-paid sectors. This is done through the introduction of the new supported bargaining stream.

Supported bargaining is a new process where employers and workers can bargain collectively with other employers or workers in their sector, with support from the Fair Work Commission. 

On 27 September 2023, the Fair Work Commission authorised a supported bargaining application, submitted by 3 unions and 64 Centre Based Day Care providers. The unions are the:

  • Australian Education Union
  • Independent Education Union
  • United Workers Union.

Supported bargaining outcomes must meet or exceed pay and conditions set out in awards.

The Commonwealth has been participating as a third party in ECEC supported bargaining conferences and will continue to support the process as appropriate and required. 

Useful resources

Fair Work Ombudsman

FWO provides education, assistance, advice and guidance to employers and employees. It also promotes and monitors compliance with workplace laws.

Fair Work Commission

FWC is the national workplace relations tribunal and unions regulator.

Employer organisation

If you are a member of an employer organisation you can also seek their advice.