The Fair Work Act includes the National Employment Standards (NES) which an employer cannot contract out of.
If a Modern Award or Enterprise Agreement applies to you and your employees, the safety net can be lifted higher. For example, one of the NES is that a full time employee is entitled to 4 weeks annual leave. However, some Modern Awards increase this to 5 weeks annual leave.
To work out whether a Modern Award applies, you need to check the coverage clause and the classifications. You can find the Modern Awards by visiting the Fair Work Ombudsman’s website – https://www.fairwork.gov.au/.
An Enterprise Agreement (historically referred to as a Collective Agreement) should be registered with the Fair Work Commission. You can search the Fair Work Commission’s website to find a registered Enterprise Agreement – https://www.fwc.gov.au/.
It is important that you understand your obligations under the Fair Work Act or any applicable industrial instrument because if you breach it, you can be exposed to claims and fines.
One of the services we provide employers is to advise on the applicable Award / industrial instrument, model a four week roster to determine the minimum payments you are required to pay. This modelling helps employers understand whether they are complying with their obligations or exposing themselves to underpayment claims, fines and contraventions.
If you would like more information about this service – click here to make an appointment with us.