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IMPORTANT MODERN AWARD ISSUES
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Most employers will now be aware, or starting to realise, that the industrial landscape has changed significantly since 1 January 2010.
Of most importance (apart from complying with the National Employment Standards) is the role of modern awards in the employment relationship. Employers should be aware that:
1. It is important to regularly refer to the electronic version of an award rather than relying on a printed paper copy as the modern awards are being varied and updated on a regular basis. A list of modern awards can be accessed at www.fwa.gov.au.
2. Award wages will be affected by the recent minimum wage increase from 1 July 2010. The increase will be $26.00 per week for full time employees and pro rata for part timers and casuals.
3. For employers paying award wages, the transitional provisions in most awards will take effect from 1 July 2010 which may mean an additional increase is payable.
4. Employers paying significantly above award rates will not generally be affected by the minimum wage increase or transitional provisions.
5. There is an important case currently before Fair Work Australia about whether the payment of overaward rates can absorb overtime obligations. This has potentially significant ramifications and we will report on the outcome.
Employers should ensure that their employment agreements reflect the new requirements. We can assist with standard and customised agreements for award and award free employees at a competitive price.
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