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Simple Summary - penalty rate cuts (Aust)

Unless you've been hiding under a rock the last few weeks you would be aware Australia's Fair Work Commission (FWC) has handed down a landmark decision to cut Sunday and Public Holiday penalty rates.

The FWC understands that many of those affected will be Australia's low paid workers, therefore they have recommended that appropriate transitional arrangements are to be implemented to soften the blow caused to those who work on Sundays. However, the commission has not reached a conclusive view on the form of the arrangements and are seeking submissions from interested parties.

When will the changes take effect?

The proposed changes to Public Holiday Penalty rates are expected to take affect from 1 July 2017. As for Sunday penalty rates, the FWC has proposed for the reductions to take place in a series of annual adjustments — between 2 and 5 — from 1 July 2017 to coincide with increases in modern award minimum wages arising from Annual Wage Review decisions.

EMAIL US AND WE'LL SEND YOU - A SIMPLE TABLE LISTING THE RATE CHANGES BY INDUSTRY AND HOW THE CHANGES AFFECT PART/FULL TIME AND CASUAL WAGES IN EACH INDUSTRY.

What does it mean for employers?
  • Employers will need to keep paying their employees under their current arrangements until the changes are expected to take effect.
  • If your employee's are covered by an Enterprise Bargaining Agreement (EBA), the decision will be of no effect. This is because the modern award will not apply and the agreement will specify the terms and conditions of employment, which includes rates of pay.
FOR MORE INFORMATION: www.hrtactics.com.au, Call Jackie on 0406 146 116, Jackie@hrtactics.com.au