Articles

New regulations for fixed term contracts commence today

Utilising employees on a fixed term basis is an important tool for many businesses to undertake projects, cover long-term absences, and manage their workforce. However, as of 6 December 2023, new restrictions on the operation and duration of fixed term contracts have commenced, after being introduced as part of last years’ Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth). These alterations carry profound implications for employers, including civil penalties for attempting to avoid these restrictions, so it’s important to understand them and take proactive measures to ensure your business’ compliance. So, what do employers need to know…

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Preparing for peak season: Understanding ‘reasonable additional hours’

In the lead up to the peak retail trade season, employers may have additional hours on offer to staff during busy times. Importantly, beyond being aware of the applicable rates of pay for additional ordinary hours and overtime, employers ought to familiarise themselves with the factors necessary to consider when determining whether to offer additional hours is reasonable, or not. The phrase, “reasonable additional hours” refers to the section 62 of the Fair Work Act 2009 (FW Act) that states that an employee may be required to work up to a maximum of 38 hours per week by an employer…

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Fair Work Commission announces review of retail and food service industry modern awards

In a further significant development in the industrial relations arena, the Fair Work Commission (the Commission) announced on Friday that it will be reviewing seven commonly used modern awards. The announcement follows correspondence from the Hon. Tony Burke MP, Minister for Employment and Workplace Relations to Adam Hatcher, President of the Fair Work Commission dated 12 September 2023 requesting a review.   The seven modern awards proposed for review are:   General Retail Industry Award 2020;  Fast Food Industry Award 2010;  Restaurant Industry Award 2020;   Hospitality Industry (General) Award 2020;   Clerks—Private Sector Award 2020;   Social, Community, Home Care and Disability Services Industry…

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Director personally liable for wage underpayments

In a timely reminder about wage compliance, the Fair Work Ombudsman has recently persuaded a court to hold a director personally liable for underpayments made to staff. This case serves as a reminder that those who make executive decisions that result in contraventions of minimum conditions, may be held personally liable for such decisions. What is personal liability? The Fair Work Act 2009 (Cth) (Act) provides not only for a company to be able to be held liable for certain actions, but for individuals to be held liable too. Section 550 of the Act provides that “a person who is…

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The Importance of Prioritising Proper Performance Management

As a manager or human resources professional in the retail or quick service sectors, managing employee performance can easily fall by the wayside amongst the hustle and bustle of day-to-day operations. In many cases, poor performance will fester because employees have not been made aware of their poor performance issues, and because their managers: don’t act promptly and skirt around key performance issues; are afraid of confrontation and dislike engaging in uncomfortable conversations; and/or are simply too busy to address the problems. However, businesses that fail to take adequate and swift action when performance issues arise are likely to face…

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Effective from today: Family and Domestic Violence Leave will apply to small businesses

The entitlement to 10 days of paid family and domestic violence leave (FDV Leave) has now been extended to small business. Effective from 1 August 2023, small businesses must ensure that they are complying with their obligation to provide up to 10 days paid FDV Leave to their employees (as opposed to the previous 5 days). Who is entitled to the FDV Leave? FDV Leave is available to all employees who are experiencing family and domestic violence, who need to do something to deal with the impacts of that family and domestic violence, and find it impractical for them to…

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Handling ‘Heat of the Moment’ Resignations

In the ordinary course of events, once an employee communicates their resignation to an employer, and the employer accepts the resignation, it is generally considered final, and the employee usually cannot retract it if they change their mind. But what happens if an employee resigns out of anger or frustration in the ‘heat of the moment’ – is this a genuine resignation? The short answer, no. As with most rules, there is an exception in cases where an employee submits their resignation impulsively in the ‘heat of the moment.’ In this context, it’s crucial to refer to section 386(1) of…

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Engaging part-time employees: Perfecting Part-time

Of all employment types, part-time employment is the category with a notorious reputation for being inflexible and includes intricacies that, if not watched carefully, can catch employers out with unforeseen consequences. Consider this example, and how you would deal with this situation in your business: Jessie calls in sick the night before her rostered shift. You call another employee, James, who agrees to take the shift. James is a part-time retail assistant employed under the General Retail Industry Award 2020 (Retail Award). Would you pay James at his ordinary rate of pay for this shift? Or should the additional shift…

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Blackout periods and seasonal casuals: tips and tricks

While we may only be halfway through the year, it is generally time to start planning for seasonal periods and how to best cover increased staffing needs. The general solution businesses turn to is enforcing blackout periods for their permanent staff and engaging casuals to cover the busy months. In light of recent cases and proposed changes to legislation we examine the validity of these practices and provide some best practice tips. Blackout periods Earlier this year, the case of CFMMEU v OS MCAP Pty Ltd [2023] FCAFC 51 provided a firm reminder to employers that they cannot just roster…

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Important changes to workplace laws commencing on 1 July 2023

Minimum wage increase – The Fair Work Commission will raise the National Minimum Wage to $882.80 per week or $23.23 per hour, along with a 5.75% increase to minimum award wages. The new rates will apply to affected workers starting from the first full pay period on or after 1 July 2023. Superannuation changes – The superannuation guarantee rate will rise from 10.5% to 11%. International student and working holiday visas – Student visa holders will see their allowable work hours increase from 40 to 48 hours per fortnight. Working Holiday Maker visa holders can now work for any employer for an…

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