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How To Find Your Way Through The Modern Award Maze: Part 2

Last week, I started to show you some common modern award provisions that may require you to change the way you currently operate.

This week, I’ll show you a few more…

Consultation

If you decide to introduce any changes in your business that might have significant effects on employees, you have to give advance notice of the change to affected employees and discuss how any adverse impact on them can be avoided. It is particularly important to follow this when you are implementing multiple redundancies, because if you don’t it will count against you in any unfair dismissal claim that results from the retrenchments.

Resignation

If an employee fails to give the required notice of resignation, you can deduct an amount from any monies due to them on termination under the award or the NES. This amount must be equal to the amount the employee would have been paid if they had served the notice. For example, if the award requires an employee to give 4 weeks’ notice of resignation and they walk out with no notice, you can deduct 4 weeks’ pay from their annual leave payments.


Superannuation Guarantee

Non-payment of SGC used to only be an issue between the ATO and you. Now, however, modern awards reinforce this obligation. Therefore if you fail to pay SGC you will be breaching the award and might attract the interest of the Fair Work Ombudsman.

These are some common award provisions that may affect you, but remember, not all awards are the same. You should check the terms of the award/s that apply to you.

Regards,

Charles Power

Charles Power
Editor-in-Chief
Employment Law Practical Handbook

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