The Fair Work Commission has made changes to the Professional Employees Award 2020. Some of the changes came into effect on 23 March 2023, while others do not come into effect until 16 September 2023.
The changes include overtime and penalty rates for employees working on weekends or pre-6am or post-10pm. The decision notes that an employee with substantial managerial responsibilities would not come within the Award’s coverage, but employees with supervisory responsibilities are covered.
According to Jessica Tinsley, Australian Chamber of Commerce and Industry’s (ACCI) Director of Workplace Relations, “it’s critical that employers are kept abreast of these changes so that they remain compliant with any new obligations and that unintended consequences are minimised”.
“As a member, you have a strong and experienced ally in Consult Australia, and ACCI is committed to continuing our strong partnership to ensure that the interests of your industry are well represented at the Fair Work Commission.”
The amendments do not apply to employees who have a contractual entitlement to an annual salary which exceeds the appropriate minimum wage by 25% or more. The view of Professionals Australia is that the changes are unlikely to have major impacts on professional engineering businesses because the median salary for professional engineers for all classification levels (except the lowest Level 1) is 25% above the base rates of pay in the Award.
ACCI is preparing a guide on the changes, which can be sent to interested Consult Australia members upon request.
Consult Australia members have raised concerns, especially in respect of graduate engineers and the practical distinction between employees that supervise and those that have “substantial managerial responsibilities”. Through its membership of ACCI and the NSW Business Chamber, Consult Australia is sharing these concerns.
“The business chambers are the leading voices on industrial relations issues for business and this is the very reason we invest in those memberships to reflect the concerns of our industry” says Jonathan Cartledge, Consult Australia’s Chief Executive Officer.
Member case studies have already informed submissions to the Fair Work Commission. Consult Australia, via ACCI, will continue to push for clearer guidance from Fair Work on the changes and to mitigate the risks of any future changes to the awards used by our members.
“In advocating for the success of member businesses, we will make clear to clients that any increased costs in the current environment will inevitably flow through the supply chain,” Jonathan adds. “This also provides a wake-up call on unreasonably tight schedules and timelines.”
Are these changes having a significant impact on your business? Perhaps you have significant numbers of staff not paid 25% above the applicable minimum wages and/or you have more information on the work that is necessarily needed on weekends and after business hours. If you have insights to share, please contact the Consult Australia team with details at info@consultaustralia.com.au