What is an employment award and why do they matter?

At first glance, all regulations and rules surrounding employee entitlements may seem confusing. That is why Legal Kitz have written this blog to help explain the ins and outs of the current employment awards and regulations, and what your business is required to do to ensure you are in compliance.

What is an employment standard?

In Queensland, state or local government employees are protected by the Queensland Employment Standards which provide the minimum conditions of employment. You can learn more about the Queensland Employment Standards here.

The minimum standards for those that work in the private sector in Queensland are governed by the National Employment Standards (“NES”) which sets out the ten minimum working standards for employees. These include:

  • Maximum weekly hours;
  • Requests for flexible working arrangements;
  • Parental leave and related entitlements;
  • Annual leave;
  • Personal/carer’s leave, compassionate leave and unpaid family and domestic violence leave;
  • Community service leave;
  • Long service leave;
  • Public holidays;
  • Notice of termination and redundancy pay; and the
  • Fair Work Information Statement.

What is an employment award?

Specific industries and jobs are governed by employment awards that set out the terms and conditions of employment. These legal documents contain things like minimum wages, overtime, penalty rates and allowances. The conditions in these awards must be the same or better than what is provided for in the National Employment Standards.

Recent changes to awards

In 2020, the Fair Work Commission finalised their review of the existing awards and the updated awards began taking affect at different stages throughout the year. The most significant changes to most of the updated awards, is to the layout, the language, and the inclusion of rates tables to assist employers to determine the right level of pay for their employees. The rules and the entitlements of your employees probably haven’t changed dramatically, but it is important that you are using the up-to-date version.

As an employer, it is important to make sure that your employees have easy access to the latest version of the award that applies to them. This can be done by providing a digital or hard copy in a prominent place like the lunchroom or on a work noticeboard.

How to find the right award

There are over 100 awards that cover various private sector occupations and industries in Australia (e.g. Banking, Finance and Insurance Award, Hair and Beauty Industry Award and Real Estate Industry Award etc.). Employers may have more than one award which applies to their employees, depending on the industry and the employees’ roles.

To find the right award that applies to your private sector employees in Queensland, you can:

  • Use the Fair Work Ombudsman’s ‘Find my award tool’; or
  • Contact the Fair Work Ombudsman on 13 13 94.

What if you don’t have an award?

Employees in the private sector who have an enterprise agreement or registered agreement do not fall under an award. If an award does not apply to your employees, the NES and the national minimum wage still apply to form the minimum standards for the employment of these workers.

Legal advice 

If you are concerned about your business’ possible compliance issues or liabilities, you should seek legal advice. Legal Kitz employment specialists can assist you with implementing best practice methods to ensure that your business remains compliant with any new or amended employment entitlement legislation and regulations. You can contact Legal Kitz via email at [email protected] or by phone 1300 988 954. 

The above information has been collected from relevant government websites and is subject to change. For the latest information regarding new or amended legislation, please refer to state and federal government websites.

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