Every modern award has a standard clause setting out obligations on the employer to consult with its employees where the employer has made a definite decision to introduce major changes in production, program, organisation, structure or technology that are likely to have significant effects on such employees. Significant effects include termination of employment, major changes in composition, operation and size of the employer’s workforce or skills required, the transfer of employees to other work locations and the restructuring of jobs.  The full list of major changes is at sub-clause 8.1(b).

The consultation clause requires specific discussions and written notifications to employees and their representatives (if any) at certain points in time when definite decisions have been made by management, with the aim of averting or mitigating adverse affects that may flow from major change. The specific set of obligations on employers for discussion and notification are set out in sub-clause 8.2.