Over 80 Modern Awards have been varied to include the requirement that employers must pay an employee’s final pay (and all other entitlements) no later than 7 days after the end of their employment.
Changes to notice of termination rules now also mean an employer can deduct up to 1 week’s wages if an employee over 18 years resigns without giving enough notice. Employers cannot deduct wages from employees under the age of 18 for not giving notice.
Do these changes affect all employees?
These changes are not being introduced to all modern awards, so it is important for Employers to check which award is covering their employees. If you are unclear on the current award covering your employees, seek support and clarification.
The following clauses have also been varied:
- consultation about major workplace change
- consultation about changes to rosters or hours of work
- dispute resolution
- individual flexibility arrangements.
All changes took effect from the first full pay period on or after 1 November 2018. Updated copies of the awards are available via the list of awards at fairwork.gov.au.
Where can employers find support?
If you are an employer and are unsure about what these changes mean for your organisation, or need help navigating the termination process, the performHR team are here to help.
Start the conversation with our team of experts today.