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November 15, 2006

Workplace Relations Act changes

Before the High Court judgment was delivered, the Government announced proposed  changes to the Workplace Relations Act:

  • protect employee redundancy pay entitlements: agreement based redundancy
    entitlements will continue to operate for 12-months after an agreement is
    terminated unless a new agreement is made earlier;
  • address the potential for
    increased costs associated with annual leave accrual and
    personal/carer’s leave payment under the Australian Fair Pay and
    Conditions Standard by capping the accrual of annual and personal/carer’s leave under the
    Australian Fair Pay and Conditions Standard (the Standard), so that
    paid leave would not accrue in respect of hours worked above 38 hours
    per week and make the payment rules for personal/carer’s leave,
    compassionate leave and leave for pregnant employees who cannot be
    transferred to a safe job consistent with the payment rule for annual
    leave (that is, the employee’s basic periodic rate of pay);
  • provide a default right for an employer to stand
    down employees where work is unavailable due to factors outside the
    employer’s control. This provision would apply
    where an employer does not otherwise have (through an award, agreement
    or contract) an automatic right to stand an employee down where work is
    unavailable due to factors outside the employer’s control;
  • enable employees to cash out personal/carers leave: an employee would be able to
    cash out any amount of personal/carer’s leave, provided that for
    full-time employees working a 38-hour week at least 15 days remain
    available after cashing out;
    and
  • amend the record-keeping regulations to streamline the record-keeping requirements: employers will only be requireed to record only those
    hours for which an employee is entitled to overtime or other penalty
    rates, rather than all hours worked.

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Posted 15th November 2006 by David Jacobson in Business Planning