THE FAIR WORK AMENDMENT (PROTECTING VULNERABLE WORKERS) ACT 2017


1st November 2017

Practice Managers and GPs are reminded the Fair Work Amendment (Protecting Vulnerable Workers) Act 2017 came into effect last month. The new law means there are harsher penalties for serious breaches of employment entitlements and record keeping failures.

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Under the changes if an employer fails to keep records and an employee claims they have been underpaid, the employer must also prove they did in fact meet their obligations and paid the employee correctly.

The following list outlines the changes to the Act:

  • increased penalties for serious violations of the Fair Work Act; where an employer is knowingly breaching their obligations and is doing so systematically
  • prohibits employers requiring ‘cashback’ from current or prospective employees (ie unreasonably making an employee spend or pay money for the benefit of the employer)
  • increased penalties for employers that breach their record-keeping and pay slip obligations such as failing to keep accurate records or providing false or misleading information to their employees
  • stronger powers for the Fair Work Ombudsman (FWO) to investigate breaches of the Fair Work Act

The changes have not significantly affected the obligations of employers, but the increased penalties and regulatory powers means that it is more important than ever to ensure correct pay and record-keeping practices. 

 

It is vital that employers keep accurate records for at least seven years (including details of the employee’s name, commencement date, employment status, pay, hours worked, leave, superannuation contributions) and pay slips must be provided to employees within one working day of payment. If you are unsure about your record-keeping, pay slip or other obligations, contact the Employsure Advice team on 1300 651 415.

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