(1) The FWC may make a State reference public sector modern award (the proposed award ) only on application under section 158 by:
(a) a State reference public sector employer; or
(b) an organisation that is entitled to represent the industrial interests of a State reference public sector employer or of a State reference public sector employee.
(2) The application must specify the employers, employees and organisations (the proposed parties ) proposed to be covered by the proposed award.
(3) The FWC must consider the application, and must make a State reference public sector modern award covering the proposed parties if the FWC is satisfied that:
(a) the employers and organisations that are proposed parties have agreed to the making of the application; and
(b) either:
(i) none of the employers and employees that are proposed parties are already covered by a State reference public sector modern award; or
(ii) if there are employers and employees that are proposed parties and that are already covered by a State reference public sector modern award (the current award )--it is appropriate (in accordance with section 168L) to vary the coverage of the current award so that the employers or employees cease to be covered by the current award.
(4) The FWC must not make a State reference public sector modern award otherwise than in accordance with this Division or in accordance with Part 2 of Schedule 6A to the Transitional Act.