In this blog post we are giving you a crash course in appointing a new employee and how to navigate your way through the different legislation, pay rates, Modern Awards and the National Employment Standards (NES).  

You have just completed the recruitment process, phoned the successful applicant to offer them the position; they have accepted the position and will be starting on Monday.... so how do you prepare for the new employee?

The first step in preparing for a new employee is to gain a basic understanding of the industrial relations legislation, which is the legislation surrounding employment... sounds fun doesn’t it?!  

The Fair Work Act 2009

The Fair Work Act 2009 (FWA) is the main legislation that governs the employee/ employer relationship in Australia. It provides a safety net of minimum entitlements, enables flexible working arrangements and fairness at work and prevents discrimination against employees.  

The FWA commenced on 1 July 2009.

The FWA requires all businesses to comply with:

• A safety net of minimum employment conditions including the National Employment Standards (NES) and modern awards;
• unfair and unlawful dismissal laws;
• agreement making obligations;
• transfer of business rules, and
• workplace rights specified in the FWA.

The cornerstone of the system is fairness and flexibility. Both employers and employees have rights and responsibilities to help achieve this.

National Employment Standards (NES)

There are 10 National Employment Standards that must be provided to all Employees (Casual, Part-Time and Full-Time), regardless of the Award, EBA or Employment Contract.  

The 10 NES Entitlements include:  

• Maximum weekly hours
• Requests for Flexible Working Arrangements  
• Parental Leave and Related Entitlements;  
• Annual Leave;  
• Personal Carer’s Leave and Compassionate Leave;  
• Community Service Leave;  
• Long Service Leave;  
• Public Holidays  
• Notice of Termination and Redundancy Pay;  
• Fair Work Information Statement  

Did you know – It is a requirement under the Fair Work Act that Employers provide every new Employee with a copy of the Fair Work Information Statement before or as soon as they commence their new Job.  

Modern Awards  

Modern Awards are used in conjunction with the National Employment Standards to provide a fair and relevant minimum safety net of terms and conditions for employees.  

Modern Awards contain terms on:  

• Minimum wages, skill-based classifications and career structures, incentive-based payments, piece rates and bonuses;
• Type of employment and the facilitation of flexible working arrangements;
• Arrangements for when work is performed, including hours of work, rostering, notice periods, rest breaks and variations to working hours;
• Overtime rates;  
• Penalty rates;  
• Annualised wage arrangements;
• Allowances
• Leave, leave loadings and arrangements for taking leave;
• Superannuation;
• Procedures for consultation, representation and dispute settlement.

Every 4 years the Fair Work Commission must conduct systematic reviews of all modern awards. The classification of employees, minimum rates or allowances due under a particular award may be varied by the Fair Work Commission either during the periodic review or as the Fair Work Commission sees fit. It is important that you are aware of the correct minimum rates, penalties and allowances.

Unsure about your obligations as an employer? Contact us today - hello@hrdynamics.com.au or call us at (07)4051 7307

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