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LexisNexis Practical Guidance®
Straightforward guidance across a range of topics
- Enterprise bargaining
- Approval of enterprise agreements
Better off overall test
The most significant safeguard that applies to the approval of an enterprise is that each employee to be covered by the agreement will be better off overall under the agreement than under a relevant modern award: ss 186(2)(d).
The better off overall test (or BOOT) requires the FWC to conduct an analysis of the advantages and disadvantages of the proposed agreement and underling award(s) in order to make a judgment ‘as to whether, taken as a whole, all the benefits provided under [the] agreement more than make up for any loss of award conditions and entitlements’.
See Better off overall test.