The Fair Work Commission (FWC) recently handed down a 3.5% increase in the minimum wage as part of the National Wage Case. This morning the FWC handed down the final determinations that vary the modern awards and change the pay rates that are to apply from the first pay period on or after 1st July 2018. ACAPMA has produced a series of Quick Reference Guides that summarise common areas of the industry awards.
ACAPMA Quick Reference Guides
ACAPMA produces Quick Reference Guides for the three common industry Awards;
· The Vehicle Manufacturing, Repair, Service and Retail Award 2010, which applies to retail fuel site staff,
· The Road Transport and Distribution Award 2010, which applies to fuel transport workers, and
· The Clerks Private Sector Award 2010, which applies to clerical workers.
The Quick Reference Guides are being distributed to members today, however all employers in the industry are reminded that the change in Award rates requires every employer to review their employment instrument, even if it is a registered Agreement. All employers are encouraged to understand the impact of the National Wage Case and to review their employment instrument in this context.
National Wage Case
The National Wage Case decision that has been handed down resulted in the minimum wage increasing 3.5%, a week to $18.93 per hour. This has a clear flow-on effect to the wage rates in all Modern Awards and thus requires all employers to review their employment instruments before the new rates come into effect on 1 July 2018.
Each year, the FWC reviews the cost of living, economy-wide productivity indicators and the general health of the Australian economy to determine if the minimum wage rates set in the Awards are commensurate with a living wage. While not all National Wage Cases result in an increase in the minimum wage, most do.
The 3.5% increase for the 2018/2019 year is significantly lower than the $50 a week increase employee groups were requesting (7.2% increase) but represents a sharp increase on the rates of the previous few years.
All employment instruments effected
While the National Wage Case directly changes the wage rates in the Modern Awards there is also a flow on effect to all employment instruments.
Employers who use direct contracts, enterprise agreements, individual flexibility agreements or racked rates must take the time to review the wage rates contained within those instruments as the National Employment Standards, which apply to all employees, provide for the Modern Award rates to be the basis for all wage rates, regardless of instrument.
All employers need to review the base rates in their instruments to ensure they are equal to, or above the levels set in, the Modern Awards after the National Wage Case increase.
Register now so you don’t miss out
The ACAPMA Quick Reference Guides will be sent to the Principle members upon their release; however, all members are encouraged to have the responsible persons in their business, such as payroll or workplace relations managers, register to receive these Guides on their release, to ensure they receive the information in a timely fashion.
To register to receive the ACAPMA Quick Reference Guides and other key workplace relations information please email firstname.lastname@example.org to add key staff to the Employment distribution list.
Here to Help
ACAPMA members are reminded that the ACAPMA Employment Professionals are available to assist with wages and Awards. For more information just call 1300 160 270.
HR Highlights are things to consider, implement and watch out for in your business. They are provided as general advice and you should seek further advice on your situation by calling 1300 160 270 and speaking to one of the ACAPMA Workplace Relations Professionals its free for members. ACAPMA membership is affordable at only $810 per year for a single site and valuable with sites gaining HR and IR advice support and representation as well as a raft of other benefits and discounts.