News & Events
Ruling made on Overtime Phasing In & Absorption of Over Award Payments for 1 July 2010
CCIQ Legal Services together with ACCI came up against the Australian Manufacturing Workers Union (AMWU) who recently prepared a test case to obtain compensation for workers who they claim may lose out on overtime pay under the Modern Awards system.
AMWU argued that the new manufacturing award pays only double-time after three hours overtime in comparison to double-time after just two hours as per 95 of the sector's 168 industrial instruments. The union pushed Fair Work Australia (FWA) to have overtime included as a transitional arrangement so current benefits are continued beyond 1 July 2010 through a slow phase-in of changes.
AMWU wanted to clarify whether overtime changes took effect from 1 January 2010, which is the message from the Federal Government, or were part of the five year phase-in schedule for other changes to wage-related payments beginning in July, as some legal experts argue.
On Friday 25 June, a full FWA bench ruled that overtime is not subject to phasing and clarified that employers are generally permitted to absorb modern award increases into employees' over-award payments.
Understanding Modern Awards Modern awards can be tricky. Ensure you're compliant by engaging the CCIQ Legal Services team to help:-
- review current roster arrangements and hours to ensure you're paying the correct rates;
- review your contracts, letters of engagement and the relevant modern award to ensure transition compliance; and
- review all policies and procedures to ensure you're Fair Work Ombudsman Audit-proof.
Further Assistance:
Contact CCIQ Legal Services now on 1300 405 711.
Related links:
Source: Chamber of Commerce & Industry Qld - Chamber of Commerce & Industry Queensland.
