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Annualised salary clauses up for review

A FULL Bench will review and determine not only applications by parties regarding annualised salary provisions in modern awards but to proactively review all 19 modern awards that currently include such clauses.

Fair Work Commission (FWC) President Justice Iain Ross in a 31 May 2016 statement said the current four-yearly review of modern awards was “broader in scope” than previous transitional reviews and provided “an opportunity to comprehensively review such terms”, not just on application from the parties.

President Ross said he was “satisfied that a broader review of all annualised salary terms is required”.

Specific variation applications

Most specific applications to vary or insert annualised salary terms in modern awards do not impact directly on AREEA members generally but include:

  • An ASU application re the Clerks – Private Sector Award 2010;
  • An Aurizon and Australian Rail Track Corporation application re the Rail Industry Award 2010; and
  • A United Voice application re the Hospitality Industry (General) Award 2010.

Other awards subject to wholesale review

The 19 awards that currently contain annualised salary terms which will be subject to review and determination by a Full Bench include the following awards of most relevance to resource industry employers:

  • Clerks – Private Sector Award 2010 (clause 17) (there is also a specific application re this award’s annualised salary clause)
  • Hospitality Industry (General) Award 2010 (clause 27) (there is also a specific application re this award’s annualised salary clause)
  • Hydrocarbons Industry (Upstream) Award 2010 (clause 20)
  • Marine Towage Award 2010 (clause 13)
  • Mining Industry Award 2010 (clause 17)
  • Oil Refining and Manufacturing Award 2010 (clause 20)
  • Rail Industry Award 2010 (clause 18) (there is also a specific application re this award’s annualised salary clause)
  • Salt Industry Award 2010 (clause 18).

The Full Bench has said it should not be assumed that following the proactive review of all existing annualised salary terms that a standardised clause will be inserted into relevant awards. The appropriateness of existing clauses will be dealt with on a case by case basis, it said.

These matters, including variation applications and broader reviews, have been listed for hearing by a Full Bench on 5 and 7 December 2016.

AREEA will be involved in Full Bench proceedings and seeks feedback from members regarding the above awards and their annualised salary terms so we can ensure that industry’s views are represented.

For more information on the annualised salary review, click here.

To provide feedback, please contact AREEA’s principal adviser – workplace policy, Lisa Matthews, on (03) 6270 2256 or at [email protected].

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