Understanding your Rights and Responsibilities as an Employer Date:

Presented by:

Sources of Obligations
FAIR WORK LEGISLATION
Fair Work Act 2009 + Regulations (includes National Employment Standards)

INDUSTRIAL INSTRUMENT
Modern Award or Enterprise Agreement

INDIVIDUAL ARRANGEMENTS Individual Flexibility Arrangement or Contract of Employment

The National Employment Standards

1 Maximum Weekly Hours 2 Right to Request Flexible Working Arrangements 6 Community Service Leave 9 Notice of Termination and Redundancy Pay 3 Parental Leave 4 Annual Leave

5 Personal/Carers & Compassionate Leave

7 Long Service Leave 10 Fair Work Information Statement

8 Public Holidays

Workshop Challenge: Leave

Cath is a full time employee. She has worked for you for 6 months. She has not taken a day off in that time. Cath calls before her shift to tell you her son is ill and she cannot come in.

What sort of paid leave can

Cath access? a) annual leave

b) personal/carers leave
c) none - she hasnt worked her 12 months.

Workshop Challenge: Leave

ANSWER
What sort of paid leave can Cath access?
a) annual leave

b) personal/carers leave
c) none - she hasnt worked her 12 months.

Industrial instruments
Modern Awards cover most workplaces industry and/or occupation-based contain minimum entitlements

Enterprise Agreements apply to specified workplaces negotiated with employees must be approved by Fair Work Australia override modern award (except base rate of pay)

Other arrangements
Individual Flexibility Arrangements can vary certain award / agreement terms must be genuinely agreed between employer and employee employee must be better off overall
Employment Contracts can provide equivalent or more generous conditions than NES and award / agreement cannot undercut minimum entitlements.

Wages

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 premodern award to the modern award

Pay slips & record-keeping

Record-keeping
You 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 and guarantees of annual earnings)

Records must be in English, accessible to employees and Fair Work Inspectors and kept for 7 years. Record-keeping templates can be downloaded for free from the Fair Work Ombudsman website.

Pay slips
Pay slips need to be issued within 1 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 slip templates can be downloaded for free from the Fair Work Ombudsman website

Workshop Exercise: Payslips

Does your payslip contain all of the following details?
Employer ABN Employer name Employee name Date of payment (e.g. 19/06/09) Period of payment (e.g. 04/06/09 18/06/09) Gross amount of pay Net amount of pay For employees paid an annual salary the salary as at the last day in the period Any bonus, loading, allowance, penalty rate, incentive-based payment or other separately identifiable entitlements Superannuation amounts paid or liable to be paid and the name of the fund For employees paid an hourly rate the ordinary hourly rate of pay

the number of hours worked at that rate

the amount of payment at that rate

Details of any deductions made

Engaging, Managing & Terminating Staff

Hiring Employees
Confirm: the award/agreement that applies the type of employment (full-time, part-time or casual) any conditions re: type of employment/proposed hours the employees classification (e.g. Level 1) the correct rate of pay, loadings and allowances Provide new employees with: the Fair Work Information Statement an engagement letter confirming their conditions of employment (optional)

Engaging Contractors
Independent contractors are people who are selfemployed and contract their services to clients.
Independent contractors are not employees and have different rights and obligations. Misrepresenting or disguising an employee as an independent contractor is known as sham contracting and is against the law.

Adverse Action
Adverse action is includes taking, threatening to take or organising to take actions that: dismiss the employee injure the employee in his or her employment alter the position of the employee to the employee's prejudice discriminate between the employee and other employees Different forms of adverse action apply to prospective employees and independent contractors

Protections from Adverse Action

It is unlawful for an employer to take adverse action in connection with the employee having:

1. workplace rights
2. freedom of association/union rights and/or engaging in lawful industrial activity 3. protected attributes / on discriminatory grounds

Handling workplace disputes

Communicate - take time to understand and discuss the concerns. Keep detailed notes of discussions.
Check the applicable modern award/agreement to confirm the process for handling disputes. If unresolved, refer to an independent third party or Fair Work Australia. Download the Effective dispute resolution - Best Practice Guide from the Fair Work Ombudsman website

Managing underperformance
Address underperformance promptly and appropriately
Follow any steps set out in the award / agreement or contract and consider applicable policies or procedures concerning performance management Download the Managing Underperformance Best Practice Guide from the Fair Work Ombudsman website

Terminating employment
Provide written notice of termination of employment

Ensure the dismissal is fair

Ensure the dismissal is lawful Check if redundancy entitlements apply Keep records Pay outstanding entitlements

Workshop Challenge: Notice

Anthony has been working for you on a full-time basis for 5 months. You have decided to terminate his employment due to ongoing performance issues. How much notice do you need to provide Anthony?

a) None b) 1 week c) 4 weeks

His contract stipulates a 6 month probation period during which he can be terminated without notice.

Workshop Challenge: Notice

ANSWER
How much notice do you need to provide Anthony?
a) None

b) 1 week
c) 4 weeks

Things to avoid
Not paying penalties, allowances or overtime Not paying for work trials, meetings or training Offering goods or services instead of pay Failing to provide pay slips

Unlawful discrimination
Sham contracting Sham apprenticeships or trainee arrangements

What to do if the FWO contacts you

- Speak with your franchisor and seek advice if you need it - Cooperate with the Fair Work Inspector produce requested documents and records; ask questions if you dont understand - Seek to promptly resolve the complaint or any issues raised in an audit

Where to get help

Speak with your franchisor or employer association
Visit www.fairwork.gov.au for:
Pay tools and Leave calculator Fact Sheets and Best Practice Guides Template Documents and Checklists Industry Specific Web Pages Live chat and email enquiries Latest news and subscriptions services

Call the Fair Work Infoline 1313 94