Non-Casual Employees Must Have Standard Rosters and Can Incure Penalties When Changed Without Employee Agreement

Be Aware That Non-Casual Employees Have Standard Rosters, Incurring Penalties When Changed Without Documented Agreement

Payroll penalty rates are to be paid when work days and times differ from employee-contracted days and actual shift times.

With the move from casual to part-time employees, Employment contracts now need to include days and times to be worked each week.

The Fair Work Ombudsman refers to ordinary hours as the standard working hours of an employee as defined in their employment contract or relevant industry award. These are the hours an employee is expected to work each day, week, or month without receiving additional pay for working within those hours.

Awards require penalty rates to be paid when the hours worked differ from the employee's contracted hours and times. This requirement could substantially increase the business payroll if the hours are changed without a documented employee agreement.

There is, however, the provision that these times can be changed in the roster and timesheet by agreement between the employer and employee.

Inzenius has a simple process of recording these acceptances, which reduces the risk of a future claim against the company for underpayment of these penalty rates.

The Inzenius system includes all the processes in one place, from the employee's work times in their file to their accepted rosters, timesheets with automated payroll award interpretation, and payroll reporting and processing.

Employee record times are used to create a roster.

The employee rosters are initially built on their employee record times, allowing variation at the work site level with electronic employee acceptance sign-off.

The roster can be changed from their contracted times with employee approval.

Agreed modified times to work

The timesheet will facilitate the approval of the rostered or timekeeping worked times and the employee's electronic sign-off of the times worked acceptance.

Timesheet times agreed to be paid for.

No worries #ThatsInzenius #Payroll

Example of award conditions - Hospitality Industry (General) Award 2020

Setting guaranteed hours and availability for part-time employees in the Hospitality award

At the time of engaging a part-time employee, the employer must agree in writing with the employee on all of the following:

(a) the number of hours of work that is guaranteed to be provided and paid to the employee each week or, where the employer operates a roster, the number of hours of work which is guaranteed to be provided and paid to the employee over the roster cycle (the guaranteed hours); and

(b) the days of the week on which, and the hours on those days during which the employee is available to work the guaranteed hours (the employee’s availability).

10.5 Any change to a part-time employee’s guaranteed hours may only be made with the written consent of the employee.

10.6???????????????Rostering

The employer may roster a part-time employee to work their guaranteed hours and any additional hours in accordance with clause 15.2—Part-time employees and clause 15.5—Rosters (Full-time and part-time employees).

10.7 However, a part-time employee:

(a) must not be rostered to work any hours outside the employee’s availability; and

(b) must have 2 days off each week.

10.8???????????????Increasing guaranteed hours to match regular work pattern

If a part-time employee has regularly worked a number of ordinary hours in excess of their guaranteed hours for at least 12 months, then they may request in writing that the employer agree to increase their guaranteed hours.

10.9 If the employer agrees to a request under clause?10.8, then the employer and the part-time employee must vary the agreement made under clause?10.4?to reflect the employee’s new guaranteed hours. The variation must be recorded in writing before it occurs.

10.10 The employer may only refuse a request under clause?10.8?on reasonable business grounds. The employer must notify the part-time employee in writing of a refusal and the grounds for it.

10.11???????????Change in employee’s circumstances that change their availability

If there is a genuine and ongoing change in the part-time employee’s personal circumstances, then they may alter the times they are available by giving 14 days’ written notice of the alteration to the employer.

10.12 If the employer cannot reasonably accommodate the alteration to the part-time employee’s availability under clause?10.11, then (regardless of clause?10.5):

(a) the part-time employee’s guaranteed hours agreed under clause?10.4 cease to apply; and

(b) the employer and the part-time employee must agree on a new set of guaranteed hours under clause 10.4.

10.13???????????Payment rates

(a) An employer must pay a part-time employee for ordinary hours worked in accordance with clause 18—Minimum rates.

(b) An employer must pay a part-time employee at the rates prescribed in clause?28.4—Overtime rate for all time worked in excess of:

(i) 38 hours per week or, if the employee works in accordance with a roster, an average of 38 hours per week over the roster cycle; or

(ii) the maximum daily hours limitations specified in clause 15.2—Part-time employees; or

(iii) the employee’s rostered hours.