Less than two weeks remain before new changes come into place for companies who employ people under an affected Modern Award and pay them an annualised salary.
From 1 March 2020, new record-keeping requirements and salary rules will be introduced into Modern Awards.
Through various decisions in its ongoing review of the Modern Awards system to protect employees from potential underpayments, the Fair Work Commission (FWC) determined these significantly more onerous administrative requirements as necessary.
As part of the first four yearly modern award review process, the FWC will introduce model annualised salary clauses in 19 modern awards. The model clauses will introduce a number of compliance requirements for employers who engage employees on annualised salary arrangements.
Relevant to AREEA members, the Modern Awards affected include:
- Mining Industry Award 2010;
- Hydrocarbons Industry (Upstream) Award 2010;
- Marine Towage Award 2010;
- Oil Refining and Manufacturing Award 2010;
- Salt Industry Award 2010; and
- Clerks – Private Sector Award 2010.
We recommend you start assessing whether your employees will be impacted by the changes to Modern Awards, and how you will meet the new record-keeping and administrative requirements.
To assist you to do so, Australian Resources and Energy Group AREEA has prepared a step-by-step Annualised Salaries Toolkit.
To get your copy of the toolkit, contact [email protected] – exclusive for AREEA members only.
For more information on annualised or aggregate salaries and implications of the new model clauses effective from 1 March, contact 1800 627 771 to be connected with a specialist consultant at your local AREEA office.
