- annual wage increases; and
- changes and amendments to the modern awards.
In each financial year the Fair Work Commission, led by an expert panel, is required to conduct a review of the modern award minimum wages. On 18 June 2020, the Fair Work Commission made a determination, for the 2020-2021 financial year, as to when the wage increase will come into effect and the percentage of that increase.
It was found that due to the economic effects of COVID-19 that the following would occur:
- all modern award rates of pay will be increased by 1.75%;
- and the wage increase would have 3 different start dates.
- Electrical, Electronic and Communications Contracting Award 2010 (Electrical Award); and
- Clerks – Private Sector Award 2020 (Clerks Award).
Changes to Awards in 2020
As part of its 4 yearly reviews, the Fair Work Commission has been reviewing all modern awards to clarify how some clauses work and changing other clauses. The main changes are the layout, language and inclusion of rates tables to assist in finding the right pay.
The Clerks – Private Sector Award 2010 has now been completely replaced with the new Clerks-Private Sector Award (2020). The differences between the Clerks Award, in addition to the minor changes set out above, are the following clauses:
- a clause identifying provisions allowing agreement between an employer and an individual employee or the majority of employees, on how specific Award provisions will apply in the workplace; and
- annualised salaries will now only apply to full-time employees and as a result, any part-time employees under the Clerks Award who are on an annualised salary must revert to an hourly rate of pay.
The start date for the Electrical Award has yet to be confirmed. Note, however, NECA is currently making submissions with respect to some of the changes that are being considered.
Disclaimer: This summary is a guide only and is not legal advice. For more information on legislative or contractual obligations, call CTI Lawyers on 1300 361 099 or email [email protected]