Establishing the right to bargain collectively in Australia and the UK: Are majority support determinations under Australia's Fair Work Act a more effective form of union recognition?
The optimal legal and institutional framework for facilitating workers' access to collective bargaining is a central issue for labour law. Since 2009, Australian labour law has adopted a novel approach to the issue of whether workers should have the right-and employers, the obligation-to engage in collective bargaining. The Fair Work Act 2009 (Cth) (FW Act) seeks to promote collective bargaining in good faith at the enterprise level, by empowering the Fair Work Commission (FWC) to facilitate good faith bargaining and the making of enterprise agreements. One of the key mechanisms available to the FWC is the power to make a majority support determination (MSD), in situations where an employer refuses to bargain and a majority of the relevant employees want to bargain collectively. The making of an MSD then triggers a number of other obligations (including the good faith bargaining requirements) and opens the way to other forms of FWC involvement in the bargaining process. An MSD has the effect of compelling an employer to bargain collectively where it has previously refused to do so. The MSD process is therefore akin to the statutory union recognition procedure operating in the UK and the longstanding union recognition processes that apply under Canadian and US labour laws. However, the Australian iteration of these legislative attempts to address the problem of employer resistance to bargaining is distinctive because it gives the FWC considerable flexibility in the method used to determine majority support for bargaining.