In this week’s Workplace Bulletin:

• What you need to know about industrial action
• Quick Tip of the Week: How to bargain in ‘good faith’
• Workplace Helpdesk Q and A: Does superannuation accrue while an employee is on worker’s compensation?

Dear Reader,

A few of you have recently expressed concern about industrial action. How will it affect you now that new agreement making laws have been brought in, you ask? Find out in this weeks Bulletin…

What is industrial action?

Industrial action occurs when employees or employers intentionally cause a work stoppage.

There are a number of different forms of industrial action that can be taken. They include:

• Strikes. Strikes occur when employee/s refuse to attend or perform their work.
• Work bans. Work bans occur when employees refuse to perform all of their normal work duties.
• Lock outs. Lock outs occur when an employer refuses to let employees attend work or pay them.

However, industrial action cannot be taken any time an employer or employee wishes.

When can industrial action be taken?

Industrial action can only be taken when it is protected, or in other words, lawful. In order for industrial action to be protected, it must be taken in accordance with certain statutory requirements.

If it is not, then it will be unprotected industrial action. If an employee or employer takes unprotected industrial action, Fair Work Australia will take steps to ensure it is stopped. Anyone (employers or employees) who engages in unprotected industrial action may face significant consequences, including legal action.

Further information about industrial action and how to determine whether it is protected or unprotected will be included in future Employment Law Practical Handbook updates. If you are not already a subscriber to the handbook, please click here for more information.

Quick Tip of the Week: Under the new agreement making laws, you are required to bargain in ‘good faith’ with other parties when deciding upon the terms of your agreement.

Find out exactly how to bargain in ‘good faith’ in 9 easy steps with the brand new chapter Enterprise Agreements, due out with your next Employment Law Practical Handbook update.

Workplace Helpdesk: Does superannuation accrue while an employee is on workers’ compensation?

Answered by Charles Power, editor-in-chief, Employment Law Practical Handbook.

Q: Can you please tell me whether or not superannuation should accrue while an employee is off on workers’ compensation?

A: Generally speaking, superannuation is not payable on workers’ compensation payments. Superannuation is only payable on ordinary time earnings, which include wages and salary. If an employee is receiving workers’ compensation payments and they are not required to attend or perform work, then such payments are not considered wages or salary. Therefore, no superannuation is payable.

However, if you are paying an employee workers’ compensation top up payments (i.e. payments that make-up the difference between the employee’s actual wage and the compensation they receive from their workers’ compensation insurer for lost wages) and they must still attend or perform work, then they will be entitled to be paid superannuation on that component. Top-up payments are required under some awards and enterprise agreements.

Until next time…

Claire Berry
Editor

Tags: compensation, employee, industrial action, superannuation