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Summary Notes

Contracts
Minimum wage

From 2010, the employees base rate of pay or ordinary hours worked
have been determined by
o The award or agreement that covers the employees
o The national average of minimum wage

Awards

Awards are legally binding documents containing minimum terms and


conditions of employment
Awards are adjusted for increases awarded in annual National Wage Cases

Enterprise agreements

Enterprise agreements are collective agreements made at a workplace


(enterprise) level between an employer and group employees about terms
and conditions of employment.
Main features of enterprise agreements are:
o Cover rates of pay
o Penalty rates
o Overtime
o Allowances
o Hours of work
o Personal and annual leave
o Any matters relating to the relationship between employee and
employer
They also ensure the parties bargain in good faith, there are strict rules
relating to the enterprise bargaining proceeds

Other Employment contracts

Nature of work changes, greater variety is occurring in the types and


features of employment
Independent contractors
o Independent contractors, often known as consultants or freelancers,
undertake work for others; however, they do not have the same
legal status as an employee
Casual workers
o Casual employment has increased from 16% of the workforce to
21% in 2011. Their work period may vary; they are paid on an
hourly or daily basis, and are not entitled to paid leave
Many employers prefer casual staff as it reduces costs for recruitment
dismissals and other on-costs. They often receive a 20-25% loading (extra
pay) to compensate them for lacking of entitlements and job security.
Part-time contractors

Trend towards part-time work is increasing in Australia, with 29% of


all employees now employed on a part-time basis. Part-time
employees have a continuing employment contract and work less
than 35 hours per week

Workplace Health and safety (WHS)

June 1, 2011 the New South Wales government passed the Work Health
and Safety (WHS). WHS has its core the safety and protection of
employees. More than 7000 people die from work-related injuries or
illnesses and 640000 are injured at work each year
NSW, under the Work Health and Safety Act 2011
o Employees must ensure the health, safety and welfare at work of all
employees by providing a safe work environment; ensuring that
plant and substances are used, handled stored and transported
safely
o All employees must take out workers compensation insurance
o Employers must take steps to ensure that people on-site who are
not employees are not exposed to risks
o Employees who engage in bullying, skylarking or interfering with
machinery or any other behaviour that puts other employees at risk
are breaching their duties
o WorkCover must be notified of any details or serious injuries in the
workplace, any plans to carry out dangerous work

Workers compensation

NSW, workplace and health and safety laws and workers compensation
matters are administered by WorkCover a statutory body is responsible
for achieving safe workplaces, effective return to work and security for
injured workers
All employees must:
o Take out policy with a licenced insurer
o Keep time and wages records, a register of injuries, and complete
accident and internal investigation forms
o Establish, in consultation with the insurer and the employees
doctor, an injury management plan and a return to-work plan for all
injured workers, when fit for suitable duties
NSW, an employer may be breaking the law if an injured employee is
dismissed within six months of being injured or their position offered to a
replacement employee within two years of the date of injury without the
employee being first advised that she or he might not be reinstated
Employees must notify their employees as soon as possible of an injury or
work-related illness
Workers compensation system supports injured workers through providing

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