Rights & Responsibilities under the Fair Work Act 2009 Kingsford Legal Centre – Employment Law Network Date: 19 February 2013 Presented by: Alison Brown & Anthony Willoughby

2 Agenda The FWO - who we are & what we do Overview of Workplace Rights & Responsibilities Pay Slips and Record-keeping Wages PayCheck Plus demonstration Questions?

3 The Fair Work Ombudsman Independent statutory agency created by the Fair Work Act 2009, along with –the Fair Work Commission –Fair Work Divisions of the Federal Court and Federal Magistrates Court Our jurisdiction is the national workplace relations system which covers most Australian workplaces

4 The Fair Work Ombudsman Nicholas Wilson - the Fair Work Ombudsman, heads the agency Supported by around 820 staff, including approximately 290 Fair Work Inspectors and 180 Fair Work Infoline Advisers In all capital cities and 18 regional locations throughout Australia

5 The Fair Work Ombudsman All employees working in Australia have basic rights and protections at work The Fair Work Ombudsman’s role is to make sure these rights are –protected –understood –enforced

6 What we do Provide education, assistance and advice to employers and workers Promote and monitor compliance with workplace laws Investigate workplace acts and practices that are suspected to be contrary to workplace laws Enforce relevant Commonwealth workplace laws

7 Overview of Workplace Rights & Responsibilities

8 Source of obligations FAIR WORK LEGISLATION Fair Work Act Regulations (includes National Employment Standards) INDUSTRIAL INSTRUMENT Modern Award or Enterprise Agreement INDIVIDUAL ARRANGEMENTS Individual Flexibility Arrangement or Contract of Employment

9 The National Employment Standards Maximum Weekly Hours Right to Request Flexible Working Arrangements Parental Leave Annual Leave Personal/Carer’s & Compassionate Leave Community Service Leave Long Service Leave Public Holidays Notice of Termination and Redundancy Pay Fair Work Information Statement

10 Industrial instruments Modern Awards –cover most workplaces –industry &/or occupation-based Enterprise Agreements –apply to specified workplaces –negotiated with employees –must be approved by the Fair Work Commission –override modern award (except base rate of pay)

11 Other arrangements Individual Flexibility Arrangements –can be made under a modern award / enterprise agreement –can only vary specified terms –must be genuinely agreed between an employer and employee –employee must be ‘better off overall’ Employment Contracts –can provide equivalent or more generous conditions than NES & award / agreement –cannot undercut minimum entitlements

12 Pay Slips & Record-Keeping

13 Record-Keeping Employers need to keep employee records for each employee relating to: –their employment –pay –overtime –hours of work –leave –superannuation contributions –termination of employment –other matters (IFAs & guarantees of annual earnings) Records must be in English, accessible to a Fair Work Inspector & kept for seven years

14 Pay slips need to be issued within one working day of payment Pay slips can be issued electronically or in hard copy Pay slips must contain certain information – see the employee records and pay slips fact sheet for details Pay slips

15 Wages

16 Wages Pay rates are set by the applicable modern award or enterprise agreement Changes to pay rates generally take effect on 1 July each year Modern award wages are transitioning from the ‘pre-modern award’ to the modern award

17 Transition to modern awards 4 year transitional period for employers and employees to adjust to modern awards: –Model transitional provisions –Specific transitional provisions –Both model and specific transitional provisions –No transitional provisions

18 Model transitional provisions ‘Phasing’ in of increases or decreases in five 20% instalments from 1 July 2010 to 1 July 2014 ‘Phasing’ provisions apply to: –Base rates of pay –Casual and part-time loadings –Penalty rates: Weekends, evenings and public holidays Shift allowances Penalties Take-home pay orders –Must apply to FWC

19 Entitlements not subject to transitional provisions Modern award entitlements not subject to phasing: –Hours of work –Allowances (other than industry or shift allowances) –Overtime – not a penalty rate * These provisions started operating on 1 January 2010

20

21 Who can use PayCheck Plus? Employees & employers formerly covered by: –Pre-reform awards (APs) –Notional Agreements Preserving State Awards (NAPSAs) –Pay Scales PayCheck Plus does not cover: –Transitional awards (ATs) –Division 2B instruments –Enterprise agreements –Trainees –Some awards with specific transitional arrangements

22 Key features of PayCheck Plus Calculates one or multiple rates of pay per hour, per shift or per week Calculates base rates, penalty rates, overtime rates and allowances Exports results for a detailed breakdown of the calculations (including phasing calculations) Two pathways –Check My Pay (simple; one employee) –Check My Payroll (more advanced; multiple employees) FAQs to provide assistance along the way

23 PayCheck Plus Demonstration Let’s use PayCheck Plus to check the base rate of pay for: –Level 1 adult casual Admin Assistant in New South Wales (employer operating before 27 March 2006)

24 Find PayCheck Plus

25

26

27

28

29

30

31

32

33

34

35 Where to Get Further Information... Visit –Pay tools and Leave calculatorPay tools Leave calculator –Fact Sheets and Best Practice GuidesFact SheetsBest Practice Guides –Template Documents and ChecklistsTemplate Documents and Checklists –Live chat and enquiriesLive chat –Pay rates calculatorPay rates calculator –Award finderAward finder –Industry specific resourcesIndustry specific resources –Employer informationEmployer –Latest news & subscriptions services

Questions?