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A guide to the Horticulture Award 2010. Understand your responsibilities as an employer Changes to Australia’s workplace laws took effect on 1 January.

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Presentation on theme: "A guide to the Horticulture Award 2010. Understand your responsibilities as an employer Changes to Australia’s workplace laws took effect on 1 January."— Presentation transcript:

1 A guide to the Horticulture Award 2010

2 Understand your responsibilities as an employer Changes to Australia’s workplace laws took effect on 1 January 2010: Introduction of the National Employment Standards Horticulture Award 2010 commenced

3 National Employment Standards 38 hour standard week Unpaid parental leave 10 days paid personal/carer’s leave Notice of termination and redundancy Long service leave Flexible working arrangements Four weeks paid annual leave Community service leave Public holidays Fair Work Information Statement The NES took effect from 1 January 2010:

4 Horticulture Award 2010 Who the award covers Who the award doesn’t cover

5 Transitional arrangements The award includes arrangements to assist employers’ move to the new Horticulture Award NES apply immediately

6 If you were in the national system on 1 January 2010… Pre-existing pay rates, loadings and penalties continue to apply to 1 July 2010 From 1 July 2010, increases or decreases can be phased in over five years If you’re covered by an industrial or workplace agreement, call the Fair Work Infoline on

7 If you were in the national system on 1 January 2010… Phasing – what it means for you: 1. Determine the wage rates and conditions that applied before 1 January Compare these with those in the Horticulture Award If there’s a difference, you can phase this in over five 20% annual instalments from 1 July 2010

8 StepPre-modern award instrument Modern award What’s the base hourly rate?$15 per hr$16 per hr Any loadings?Casual – 23%. i.e.$3.45 per hr Casual – 25%. i.e. $4.00 per hr Total wage rate?$18.45 per hr$20.00 per hr The difference is $1.55 per hour higher. The employer can start paying this rate now, or through annual increases of $0.31 for five years Phasing – an example: If you were in the national system on 1 January 2010…

9 If you moved from the state to the national system on 1 January 2010… Changes will depend on what you were previously covered by Generally, state awards will continue to apply until 1 January 2011, unless you’re under an enterprise agreement Get advice from your industry association or call the Fair Work Infoline on

10 Pay rates Until 1 July existing rates and penalties continue to apply From 1 July 2010 – transitional rates of pay and penalties in the award take effect Piecework rates may also be paid instead of hourly rates

11 Hours of work Full-time & part-time employees: 152 hours over four weeks Ordinary hours: – shouldn’t exceed eight hours per day, but can’t exceed 12 hours – 6am-6pm Mon – Fri Excess hours are overtime Shiftworkers: 152 hours over four weeks (shouldn’t exceed 8 hours per day, but can’t exceed 12 hours) Afternoon shift finishes 6pm-12am Night shift finishes 12am- 8am Excess hours are overtime

12 Breaks Unpaid meal break of 30 mins to one hour, no later than five hours after starting work Employees instructed to work during meal break are entitled to double-time 10 min rest break each morning. Additional break may be mutually agreed 10-hour break between ending and starting a shift the next day

13 Overtime Full-time, part-time and shiftwork employees entitled to overtime at 150%, and 200% on Sundays (subject to conditions) Minimum three hours overtime on a Sunday Employees may have time-off instead of overtime

14 Employment status Full-time employees – engaged to work 38 hours per week Part-time employees – regular, ongoing basis less than 38 hours per week Casual employees – engaged and paid based on the hours they work

15 Piecework Paid on the basis of results achieved or components produced Agreed piecework rate must: – enable average competent employee to earn 15% more than the minimum hourly rate in the award for their classification and status – be paid for all work performed – be in writing and signed by employee

16 Piecework – calculating the rate The daily rate is then divided by the bin or kg rate for an average competent worker Weekly wage rate$ casual loading$ ($ x 25%) + piecework loading$81.59 ($ x 15%) Total$ Daily wage rate$ ($ ÷ 5) An example:

17 Additional information Employee records and pay slips Tax Overseas employees on visas

18 Self-audit checklist Check that you’re covering your responsibilities under the new system

19 Additional resources A CD of resources for horticulture employers comes with the guide: – Horticulture Award 2010 – Fact sheets and best practice guides – Templates, tax and visa information You can access these resources from

20 For more information Visit Call the Fair Work Infoline on Contact your industry association: – Ai Group www.aigroup.com.au – AWU www.awu.net.au – HAC(02) www.hac.org.au – NFF(02) www.nff.org.au


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