Whilst collective agreements may, on the other hand, benefit some workers by providing higher pay, bonuses, additional leave and enhanced entitlements (such as redundancy pay) than an award does[citation needed], they also may reduce employees' bargaining power against their employers, impacting their ability to successfully obtain such benefits.
)[2] Enterprise Bargaining Agreements were first introduced in Australia under the Prices and Incomes Accord in 1991 (Mark VII).
They later became the centrepiece of the Australian industrial relations system when the Accord was next revised in 1993 (Mark VIII).
EAs had one unique feature in Australia: whilst negotiating a federal enterprise bargaining agreement, a group of employees or a trade union could, without legal penalties, undertake industrial action (including strikes) in pursuit of their claims .
A major legal question associated with enterprise agreements stemmed from the High Court of Australia's decision in the case of Electrolux v The Australian Workers' Union.