Fair Work Commission Shutdown Provision update:
The Fair Work Commission recently reviewed the shutdown provisions in 78 modern awards. The Commission has now determined there are inconsistencies and these 78 awards require a model shutdown provision which will replace the existing clauses within these awards.
Previously an employer could direct an employee to take unpaid leave in the absence of required leave, this clause has now been removed. While the clause has been removed, the updated model clause allows the Employer and Employee to agree to a reasonable period of unpaid leave for a shutdown period. These changes will be in place from 1 May 2023, and will include holidays for example the Christmas and the New Year holiday period. The Awards these changes relate to are noted below.
A result of these changes are-
- The employer cannot require an employee to take leave without pay where that employee has insufficient annual leave to cover the shutdown. Leave without pay can only be by agreement.
- Employees may agree to take annual leave in advance where they have insufficient annual leave to cover the shutdown period.
- Employees who do not have sufficient accrued annual leave to cover the full shutdown period and who do not agree to take annual leave in advance, or leave without pay, will be entitled to continue working or continue to receive wages during that period of the shutdown period.
- An employer must give in writing at least 28 days notice of the shutdown unless a shorter period is agreed to between both parties.
With these impending changes, employers should identify opportunities to be proactive when reviewing and managing upcoming leave for employees, with leave processes and plans to include a sufficient annual leave balance (or relevant leave days within the employee’s current award) to provide leave coverage for any planned shutdown period.
Please feel free to give us a call on 1800 577 515, and we can work through the impact and the proposed steps forward for your team and business.
List of modern awards that will be varied to include the Model Clause –
1. Aboriginal and Torres Strait Islander Health Workers and Practitioners and Aboriginal Community Controlled Health Services Award 2020
2. Aircraft Cabin Crew Award 2020
3. Airline Operations–Ground Staff Award 2020
4. Alpine Resorts Award 2020
5. Aluminium Industry Award 2020
6. Ambulance and Patient Transport Industry Award 2020
7. Animal Care and Veterinary Services Award 2020
8. Aquaculture Industry Award 2020
9. Asphalt Industry Award 2020
10. Banking, Finance and Insurance Award 2020
11. Black Coal Mining Industry Award 2020
12. Broadcasting and Recorded Entertainment Award 2020
13. Building and Construction General On-site Award 2020
14. Business Equipment Award 2020
15. Car Parking Award 2020
16. Cemetery Industry Award 2020
17. Cement, Lime and Quarrying Award 2020
18. Cleaning Services Award 2020
19. Clerks—Private Sector Award 2020
20. Coal Export Terminals Award 2020
21. Commercial Sales Award 2020
22. Concrete Products Award 2020
23. Contract Call Centres Award 2020
24. Educational Services (Post-Secondary Education) Award 2020
25. Electrical Power Industry Award 2020
26. Electrical, Electronic and Communications Contracting Award 2020
27. Fitness Industry Award 2020
28. Food, Beverage and Tobacco Manufacturing Award 2020
29. Gardening and Landscaping Services Award 2020
30. Gas Industry Award 2020
31. General Retail Industry Award 2020
32. Graphic Arts, Printing and Publishing Award 2020
33. Hair and Beauty Industry Award 2020
34. Health Professionals and Support Services Award 2020
35. Higher Education Industry—General Staff—Award 2020
36. Horse and Greyhound Training Award 2020
37. Hospitality Industry (General) Award 2020
38. Hydrocarbons Industry (Upstream) Award 2020
39. Joinery and Building Trades Award 2020
40. Journalists Published Media Award 2020
41. Legal Services Award 2020
42. Local Government Industry Award 2020
43. Manufacturing and Associated Industries and Occupations Award 2020
44. Meat Industry Award 2020
45. Mining Industry Award 2020
46. Mobile Crane Hiring Award 2020
47. Miscellaneous Award 2020
48. Nursery Award 2020
49. Nurses Award 2020
50. Oil Refining and Manufacturing Award 2020
51. Pest Control Industry Award 2020
52. Pharmaceutical Industry Award 2020
53. Plumbing and Fire Sprinklers Award 2020
54. Poultry Processing Award 2020
55. Premixed Concrete Award 2020
56. Professional Employees Award 2020
57. Racing Clubs Events Award 2020
58. Racing Industry Ground Maintenance Award 2020
59. Real Estate Industry Award 2020
60. Registered and Licensed Clubs Award 2020
61. Restaurant Industry Award 2020
62. Road Transport (Long Distance Operations) Award 2020
63. Road Transport and Distribution Award 2020
64. Salt Industry Award 2020
65. Seafood Processing Award 2020
66. Security Services Industry Award 2020
67. Silviculture Award 2020
68. Storage Services and Wholesale Award 2020
69. Sugar Industry Award 2020
70. Supported Employment Services Award 2020
71. Surveying Award 2020
72. Telecommunications Services Award 2020
73. Textile, Clothing, Footwear and Associated Industries Award 2020
74. Timber Industry Award 2020
75. Vehicle Repair, Services and Retail Award 2020
76. Water Industry Award 2020
77. Wine Industry Award 2020
78. Wool Storage, Sampling and Testing Award 2020
We’re here to help, give us a call today and we will help you navigate these Award changes. 1800 577 515
