Effective from today, November 1, increases apply as a result of a review, which is done every four years, of penalty rate loadings. While a surprise to many, there has been some coverage on the move. However, it is seen as odd because of the earlier move to cut penalty rates,
Casual employees must be paid the following penalties (in addition to the 25% loading) for all work performed on a Saturday as follows:
- From 1 November 2018 – an additional 15% penalty
- From 1 October 2019 – an additional 20% penalty
- From 1 March 2020 – an additional 25% penalty
Further, casual employees working evenings i.e. after 6pm on Monday to Friday will receive the following penalties in addition to their 25% loading:
- From 1 November 2018 – an additional 5% penalty
- From 1 October 2019 – an additional 10% penalty
- From 1 March 2020 – an additional 15% penalty
- From 1 October 2020 – an additional 20% penalty
- From 1 March 2021 – an additional 25% penalty
Under current arrangements, these increases must flow on to employees.
Click here to see analysis of these changes. Click here for blog post from a legal firm with analysis. Click here to read the FairWork Commission decision in relation to these changes.
Given the trend towards liberalising trading hours, the multi cultural and religious make up of society , plus the emergence of the gig economy….. The industry award rates are an anomaly , a disincentive to employ, hold back growth and give advantage to large organisations with enterprise agreements.
Protection of workers from unscrupulous employers and rampant free markets is essential. This can be achieved with a simple minimal hourly rate with a loading for cities where living costs are excessive. No exceptions for anyone, nobody gets paid less than the simple rate.
FairWork has developed into a system unfit for the time we live in, a system that discourages employment in sparsely populated areas, a system that dictates pay rates that discourage effort and commitment. The myriad of sick and entitlement days increasingly seen as rights to days off add to the “what do I care” attitude by employees.
Great idea, wrong end result.
Rant over
Spot on Colin….but as you know business is making huge profits…Lol