1 July 2020 Changes
With the start of the new financial year, there are a few changes businesses need to be across.
Minimum Wage Increase:
The Fair Work Commission announced a 1.75% increase to minimum wage on the June 19, increasing to $19.84 per hour or $753.80 per week which is effective from the first full pay period starting on or after 1 July 2020.
Considering Covid-19, minimum wage increases will start on 3 separate dates for different groups of Awards.
Effective 1 July are those in Group 1:
Aboriginal Community Controlled Health Services Award
Aged Care Award
Ambulance and Patient Transport Industry Award
Banking, Finance and Insurance Award
Cemetery Industry Award
Children’s Services Award
Cleaning Services Award
Corrections and Detention (Private Sector) Award
Educational Services (Schools) General Staff Award
Educational Services (Teachers) Award
Electrical Power Industry Award
Fire Fighting Industry Award
Funeral Industry Award
Gas Industry Award
Health Professionals and Support Services Award
Medical Practitioners Award
Nurses Award
Pharmacy Industry Award
Social, Community, Home Care and Disability Services Industry Award
State Government Agencies Award
Water Industry Award
Group 2 will commence from the first full pay period starting on or after 1 November 2020 and Group 3 will be from the first full pay period starting on or after 1 February 2021.
Refer to Fair Work for more information on Groups 2 & 3:
Workplace Manslaughter:
New legislation came into effect on 1 July 2020 for Victorian businesses. If you are already complying with your OHS duties you will not need to do anything different, however if you are not complying, the consequences for non-compliance are far more severe.
For more information, refer to Work Safe Victoria:
https://www.worksafe.vic.gov.au/victorias-new-workplace-manslaughter-offences
Penalty Rate Reduction:
Effective 1 July 2020 employees who are covered by the Retail and Pharmacy Awards will now be entitled to lower penalty rates for hours worked on a Sunday.
For those working under the Retail Award, Sunday penalties will decrease from 165% to 150% and shift workers will see a decrease from 190% to 175%.
For those working under the Pharmacy Award, Sunday penalties will decrease from 165% to 150%.
Parental Leave Changes:
From 1 July 2020, eligible employees can split their Parental Leave Payments so they are able to take it over 2 periods within 2 years. This can be split between a Fixed & Flexible portion.
The fixed portion is 12 weeks which needs to be used within 12 months of the birth or adoption of a child.
The Flexible Portion is a period of up to 30 days and can be used in flexible periods negotiated between the employee and employer. This needs to be used within 2 years of a child's birth or adoption.
For more information, refer to Services Australia:
https://www.servicesaustralia.gov.au/individuals/services/centrelink/parental-leave-pay
Award Changes:
There have been several Award changes made recently that are effective 1 July 2020. If you have employees covered by the following Awards, ensure you are across the changes:
Social and Community Services Award
Aged Care Award
Building & Construction Award
Joinery Award
Mobile Crane Award
Miscellaneous Award
Refer to Fair Work for more details on the changes: