Changes to the Fair Work Act Award are set to come into force during March, spurring companies to take action and comply with the new laws.
The Fair Work Commission (FWC) introduced an annualised wage arrangement that requires employers to create, and for seven years retain records of hours worked by salaried staff and any extra pay for overtime.
Non-compliance with the award is a breach of the Fair Work Act 2009, and civil penalty provisions may be applicable, according to Geoff Corpley, founder of attendance technology platform NoahFace.
“Until now employees have relied on their employers to meet their obligations, but the extent of the reported wage theft incidents over the last twelve months show that this is not working,” he said.
“The new Fair Work Act requirements for organisations to implement stringent record keeping measures which will minimise the opportunity for payroll mistakes and underpayments.”
Payroll HQ chief executive Ross Heron welcomed the FWC’s new wage arrangement, noting that it would mean leaders across Australia must take great accountability when it comes to the mental, physical and financial wellness of their employees.
“We know that financial stress is the number one concern amongst employees in Australia,” Heron said.
“These changes should help ensure a fair day’s wage for a fair day’s work, whilst enabling employers to better track the well-being of their employee by gaining greater insight into hours worked.”
The NoahFace platform allows annualised salary staff to be monitored for start, break and finish time, and integrates with workforce management and payroll systems.