Glass Industry Update

No: 64 -14th September 2009

Securing your employees future

Contents

1.     RECORDS EMPLOYERS MUST KEEP
2.     PAY SLIP RULES

1.   Records Employers Must Keep

Employers must keep a number of written records of their employees, such as records about time and wages.

The records must be:

• easy to access

• written in English (preferably plain simple English)

• kept for seven years

Employee records are private and confidential.  Generally, no-one can access them other than the employee, employer and relevant payroll staff.

However, Fair Work Inspectors and union officials may be able to access employees’ records (including personal information) to determine if there has been a contravention of Commonwealth workplace laws.  Union officials may only inspect union members records unless the employee gives them written approval.

What must appear in employee records?

• names of the employer and employee 

• from 1 January 2010 - the Australian Business Number (ABN) (if any) of the employer

• date the employee started employment

• if the employee is full-time or casual

• if the employee is permanent or temporary

• the employee’s pay rate, including gross and net amounts paid and any deductions from the gross amount

• any loadings, monetary allowances, bonuses, incentive-based payments, penalty rates or other entitlements paid that can be singled out

• if a penalty rate or loading must be paid for overtime hours actually worked, the number of hours of overtime worked each day (if any), or when the employee started and finished working overtime

• hours worked if the employee works casual or irregular part-time hours and is guaranteed a pay rate set by reference to a period of time worked

• a copy of the written agreement if the employer and employee have agreed to average the employee’s work hours

• if you and your employee have agreed to an individual flexibility arrangement, a copy of that agreement, and, if the agreement is terminated, a copy of the termination

• leave information (including leave taken, leave balance and details of any written agreement to cash out leave)

• superannuation details (including amount and date paid, name of the super fund)

• termination of employment details (name of the person who terminated the employment and how the termination took place

·                2.    Pay Slip Rules

Employers must issue pay slips to each employee within one working day of pay day, even if an employee’s on leave. Pay slips should be written in plain, simple English.  The pay slip must be issued in electronic form or hard copy.

The Fair Work Ombudsman has designed templates to help employers meet their record-keeping and pay slip obligations. Download these templates from:  www.fwo.gov.au/Fact-sheets  What information must be on the pay slip?

A pay slip must include:

• the employer’s name (e.g. XYZ Pty Ltd trading as XYZ  Pie Shop)

• from 1 January 2010 – the Australian Business Number (ABN) (if any) of the employer

• the employee’s name

• the date of payment

• the pay period (e.g. 24/3/09 to 30/3/09)

• the gross and net amount of pay

• any loadings, monetary allowances, bonuses, incentive-based payments, penalty rates or other entitlements paid that can be singled out

• if the employee is paid an hourly rate - the ordinary hourly pay rate and number of hours worked at that rate and the amount of pay at that rate

•   if the employee is paid an annual rate (salary), the rate as at the last day in the pay period

•  any deductions made, including the amount and details of each deduction (including superannuation)

•   for superannuation contributions:
  - the amount of each contribution you will make during the pay period
  - the name, or the name and number, of the superannuation fund that contributions were paid into.

Electronic pay slips

Electronic pay slips must list the same information as hard copy pay slips. Employers must:

• give electronic pay slips to each worker via email or an electronic personal account, etc., rather than simply storing them on a database

• issue pay slips in an easily printable format.

Infringement notices

Fair Work Inspectors can issue employers with an infringement notice for failing to meet pay slip and record-keeping requirements.

An infringement notice is similar to an on-the-spot fine and is an alternative to taking matters to court. Generally an employer will have 28 days to pay the penalty in the infringement notice.

Maximum infringement notice fines:

• $330 per contravention - for an individual

• $1650 per contravention - for a corporation.

If an employer’s failure to meet the requirements is serious, wilful or repetitive, Fair Work Inspectors may recommend the matter be taken to court.

If you have any queries contact Don Blanksby on info@ggav.org.au