Modern Awards
From 1 January 2010, a new Modern Award system will be in place across the country.
More than 6000 existing state and federal awards are replaced by around 130 new Modern Awards on 1 January 2010. This means you now need to create new employment agreements for all of your employees whose guaranteed annual earnings are less than $108,300 per year.
So what does the arrival of the new Modern Awards really mean for you and your business? Most importantly, you are bound by a raft of new provisions covering everything from hours of work to penalty rates to the provision of new allowances. If you're not meeting these new legal obligations you will be in breach of the law and hefty penalties will apply, regardless of the size of your business.
Additionally, on 1 January 2010 the 10 National Employment Standards apply. This means there are new minimum standards in place for all employees in NSW, VIC, TAS, SA, QLD, ACT and The Northern Territory and all Pty Ltd companies in WA and include conditions such as parental leave, annual leave and redundancy pay, on top of the provisions contained in each new Modern Award.
With this in mind, you may now be better off negotiating a new Enterprise Agreement with your employees. An Enterprise Agreement would provide much greater certainty in the years ahead as they make it possible for you to override the Award provided your employee's are 'Better Off Overall'. This means you can tailor the rules to better suit the needs of your business.
The employment relations team at Workforce Guardian are your compliant Enterprise Agreement making experts. For more information about how an Enterprise Agreement may benefit your business, please email expertise@workforceguardian.com.au
Why not sign up for one of our free Fair Work Act webinars? Workforce Guardian presents online seminars focusing on the new National Employment Standards and how they will apply to your business. These are sessions no employer can afford to miss.
