As of the 1st of January 2010, all employers and employees in the national workplace system are covered by the new National Employment Standards (NES). The NES are to replace the Australian Fair Pay and Conditions Standard (AFPCS) currently in force under the Workplace Relations Act 1996 (WR Act). NES will provide 10 minimum entitlements for, all employees.
Under the NES, employees have certain minimum conditions. Together with pay rates in modern awards (which also take effect from 1 January 2010) and minimum wage orders. The NES according to the Australian government should make up the safety net that cannot be altered to the disadvantage of the employee.
What about the employer? Does it offer any advantages or improvements?
I’ll let you make up your own mind, but one thing is for certain, you will need to comply as of the 1st of January if you are covered by the national system.
The key changes are:
Maximum weekly hours of work
The maximum weekly hours of work will continue as 38 hours per week, plus reasonable additional hours. Unlike the AFPCS, the NES do not allow an employer and employee to agree on an applicable averaging period (although an averaging period may be specified in an award).
Flexible working arrangements for parents
After 12 months’ continuous service, employees caring for children under school age may request flexible working arrangements. Employers may refuse only on reasonable business grounds and must set out those grounds in a written response to the employee.
Parental leave
After 12 months’ continuous service, employees will continue to be entitled to 12 months’ unpaid parental leave and can request an extension of up to another 12 months’ leave. The employer may refuse this request only on reasonable business grounds.
Cashing out leave
The ability to cash out leave is covered in the new modern awards. This will be different, depending on which award is applicable to your operation..
Community service leave
Employees engaging in community service activities, including jury service and voluntary emergency management activities can take reasonable leave for the period of those activities, plus reasonable travel and rest time. An employer’s liability to pay employees for jury service will be limited to 10 days, regardless of the total absence.
Notice of termination and redundancy pay
NES will introduce severance pay (to a maximum of 16 weeks’ pay) for employees made redundant. Small businesses (fewer than 15 employees) are exempt. Employees employed for a specified time or task, and probationary, casual, seasonal and trainee employees are also excluded. The NES notice entitlement for termination is the same as under the Workplace Relations Act 1996 (Cth).
Fair Work Information Statement
Employers will be required to give employees a statement either before or as soon as practicable after, commencement of employment. Click here to access the statement http://bit.ly/58A7IA
To access the New Workplace Relations System fact sheets Click here http://bit.ly/7VkR6t