Employers in 12 award areas hit hardest by the pandemic will be granted exemptions under the Fair Work Act for two years, enabling them to alter the terms of employment of their workers.

As well, the better off overall test (BOOT), the safety net that underpins the enterprise bargaining system, will not just be diluted to make its interpretation by the Fair Work Commission less rigid, but, sources said, in some cases also will be able to be effectively bypassed for two years.