{"id":243,"date":"2018-06-22T06:05:00","date_gmt":"2018-06-22T06:05:00","guid":{"rendered":"https:\/\/epo2023.appletest.com.au\/?p=243"},"modified":"2023-11-02T06:13:51","modified_gmt":"2023-11-02T06:13:51","slug":"modern-awards","status":"publish","type":"post","link":"https:\/\/www.epayoffice.com.au\/modern-awards\/","title":{"rendered":"Modern Awards: The Impact on Payroll"},"content":{"rendered":"\n
Modern awards set out the minimum terms and conditions of employment on top of the National Employment Standards (NES). They provide entitlements such as rates of pay, hours of work, allowances, penalty rates and overtime. As such it is critical for HR and Payroll managers to be aware of any changes to modern awards that affect their employees.<\/p>\n\n\n\n
Utilising outsourced payroll services<\/a> or \u2018cloud payroll<\/a>\u2018 providers can reduce the risk of non-compliance for many organisations, ensuring the currency and accuracy of pay rates and other entitlements. At E-Payoffice for example, our system can automatically calculate hours and apply penalties, loadings and overtime based on the updated Award or EBA. Our dedicated payroll expert can also flag any relevant or potential issues and talk you through the impact of any changes to awards.<\/p>\n\n\n\n Stephen Booth, head of the Employment Law team and a Principal at Coleman Greig Lawyers, has prepared the following summary of the first review into modern awards, highlighting the key issues and what businesses need to consider from a payroll perspective.<\/p>\n\n\n\n The first 4-yearly review of modern awards commenced in January 2014, and whilst it still has some way to go, it is presently intended to be completed by the end of 2018. This review process has been so demanding that the Fair Work Commission has deferred the second 4 yearly review (previously scheduled to begin last January) until the current 4 yearly review is complete and the dust has settled on the changes made to awards as a result of the current review.<\/p>\n\n\n\n This deferment has been actioned so that all relevant parties have the chance to review how the amended modern awards operate in practice, and has come as a relief to pretty much everyone involved in the process.<\/p>\n\n\n\n The Fair Work Commission has been amending awards as various streams of the process have been completed. Generally, this occurs with a model term being developed to be inserted into most awards \u2013 although there are many instances wherein individual awards have a variation of the model term, due to different considerations for particular industries or occupations (such as patterns of work, or established custom) which the FWC has taken into account.<\/p>\n\n\n\n Taking the above into consideration, it is imperative for those people responsible for companies\u2019 HR and payroll to stay vigilantly aware of any and all changes within \u2018their\u2019 awards, and to implement any changes to their organisation\u2019s current practice necessary in complying with the relevant changes. There is no substitute for reviewing the applicable awards and noting any changes which have come about in the last 4 years, as these will generally have derived from the 4-yearly review.<\/p>\n\n\n\n Stephen Booth, Principal Modern awards set out the minimum terms and conditions of employment on top of the National Employment Standards (NES). They provide entitlements such as rates of pay, hours of work, allowances, penalty rates and overtime. As such it is critical for HR and Payroll managers to be aware of any changes to modern awards that […]<\/p>\n","protected":false},"author":1,"featured_media":244,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[],"yoast_head":"\nKeeping Up with Modern Awards<\/h2>\n\n\n\n
Particular changes and issues to consider include:<\/h3>\n\n\n\n
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The model term includes a detailed process for employees insisting on taking, or employers directing employees to take, accrued annual leave in excess of two years\u2019 worth of leave (8 weeks, or 40 days for a full-time employee). The model also includes limits on when and how much leave an employee can be directed to take. This is intended as a last resort following discussion between the employer and employee regarding the reduction of accrued leave by consensus.<\/li>\n\n\n\n
The annual leave amendments also include a process to allow the limited cashing out of accrued annual leave. Amendments also affect the granting of leave in advance, and have mandated the payment of leave to be on a pay period by pay period basis, rather than being received as a lump sum at the beginning of the leave, as was traditional. This is thanks to the near-universal use of EFT for payment of wages.<\/li>\n\n\n\n
Although not yet completely finalised, casual conversion clauses are on their way. The model clause permits an employee with 12 months of service to request conversion to either part or full-time employment, if the employee\u2019s actual pattern of work would fit the definition of part or full-time employment without any significant adjustment.In turn, the employer can refuse the employee\u2019s request where:
Coleman Greig Lawyers
Phone: +61 2 9895 9222
Email: sbooth@colemangreig.com.au
www.colemangreig.com.au<\/p>\n","protected":false},"excerpt":{"rendered":"