Industrial & Employee Relations

Our experienced workplace relations experts offer specialised services unique to Master Builders, providing members with comprehensive and tailored information. Whether you need advice on subcontract arrangements, wages, employment conditions, or dispute resolution, we’ve got it covered.

Call our team today on 08 9476 9800 or click link below to email.

OPERATIONS ASSISTANCE

STRATEGIC ADVICE

NEW FAIR WORK LAWS

The federal government has legislated changes to the Fair Work Act through the Fair Work Legislation Amendment (Closing Loopholes) Bill No.1 2023 and the Fair Work Legislation Amendment (Closing Loopholes) No.2 2023. A summary of the changes is available here. The changes will be introduced according to the details contained in the summary and include the following matters.

WORKPLACE CONSULTING SERVICES

Master Builders in-house specialists have over 20 years of experience in delivering workplace services to the building and construction industry, including;

The consulting services are in addition to the membership subscription and are especially priced for members only.

For more information on the consulting services, contact iradvice@mbawa.com

ENTERPRISE BARGAINING AGREEMENTS (EBA)

An enterprise agreement (EBA) is a formal employment agreement negotiated between an employer and its employees (or their representatives). The EBA must be registered with the Fair Work Commission and meet the minimum standard of pay in the Award. It can exclude various Award conditions if employees are better off under the EBA than the Award.

Enterprise bargaining can be made easier and more certain with the assistance of Master Builders. We provide our members support with planning, negotiation, paperwork, and lodgment with the Fair Work Commission.

INDIVIDUAL FLEXIBILITY AGREEMENTS

An Individual Flexibility Agreement (IFA) is statutory employment agreement negotiated between an employer and any individual employee. The IFA is not registered with the Fair Work Commission. IFAs allow ‘all up’ wage rates for any combination of working hours, and greater operational flexibility and simpler payroll administration.

Master Builders has extensive experience in preparing IFAs and achieving the best outcomes for members.

CONTRACTS OF EMPLOYMENT

Employment contracts are common law agreements between an employer and employee and cannot diminish the statutory entitlements of employees i.e.. under awards and the NES. Contracts of employment are not limited to ‘award free’ employees. Modern awards require an employer to provide employees a written confirmation of the type of employment (weekly, casual etc.). Accordingly, it is good practice to include other core terms of employment in the contract. Master Builders can assist members with preparing suitable and appropriate forms of contracts.

EMPLOYEE ENTITLEMENTS

Modern and State Awards

Modern awards are federal instruments. In Western Australia modern awards only apply to Pty Ltd employers and their employees.

Sole Traders, unincorporated partnerships, or unincorporated trusts are covered by Western Australian state awards.

All modern and state awards contain essential employment conditions, including;

LEAVE ENTITLEMENTS

Annual Leave

Full time employees are entitled to receive four (4) weeks annual leave per year, which accrues progressively based on their length of service. Part time employees are entitled to annual leave accrued on a pro-rata basis in accordance with their ordinary hours of work. Most awards provide for an additional 17.5% annual leave loading, payable on all hours taken or paid out upon termination.

Personal/ Carers Leave

Full time employees are entitled to ten (10) days’ paid personal/carer’s leave per year. Personal leave is paid sick leave taken by an employee because of the employee’s personal illness or injury. Carer’s leave is leave taken by an employee to provide care and/or support to a member of the employee’s immediate family or household.

Part time employees are entitled to paid personal/ carer’s leave which accrues on a pro-rata basis in accordance with their ordinary hours of work.

The accumulation of this leave is uncapped.

Long Service Leave

Long service leave (LSL) is determined by the Long Service Leave Act WA. It applies to all employers in the state.

LSL is calculated as 13 weeks leave for 15 years’ continuous service. Payment of pro rata LSL on termination is made at any time after 10 years’ service, though it is available to employees who are terminated (except for misconduct) after 7 years’ service.

Periods of service as a casual employees may qualify for LSL if the service is sufficiently regular as to be regarded as continuous service. However, each case must be assessed on its merits before confirmation of continuous service.

Portable Long Service Schemes

Due to the project-based employment cycles, most employees in the building industry find it difficult to accrue sufficient continuous service to qualify for LSL. This disadvantage is remedied by the Construction Industry Portable Paid Long Service Leave Act 1985, which secures an ongoing bank of LSL accruals for employees registered with MyLeave, that is funded via a levy on the industry. Employers must register the relevant workers in the scheme to ensure fairness for all parties.

Entitlement to LSL under MyLeave is the same as employees outside the scheme.

Modern Awards

Company’s, as incorporated enterprises, are covered by modern awards. The widespread awards in the building and construction industry are the Building and Construction General On-site Award 2020, the Joinery and Building Trades Award 2020, and the Clerks Private sector Award 2020.

Building and Construction General On-site Award 2020

*For guidance only. Please check award for full details.

Types of employment

Daily

Daily hire employees are full time or part time permanent employees, not casual, whom are engaged in writing, on one day’s notice of termination (by either party). Daily hire employees receive all other permanent benefits including annual leave, personal leave and

Weekly

Weekly hire employees are full time or part time permanent employees, whose notice of termination is subject to the NES.

Casual

Casual employees are engaged for a minimum daily engagement of four (4) hours.

Casual employees receive a 25% loading on top of their hourly rate in compensation for annual leave, personal leave, redundancy, notice of termination and other permanent benefits.

If a casual employee has been employed by the employer for a period of 12 months; and during at least the last 6 months of that period, the employee has worked a regular pattern of hours on an ongoing basis such that, without significant adjustment, would allow the employee to continue to work as a full- time or part-time employee, then the employer must offer the employee a right to convert to permanent employment. However, this is not required where there are reasonable grounds for the employer not to make the offer.

Ordinary hours

Ordinary working hours are 38 per week worked between the hours of 7am and 6pm Monday to Friday (or by agreement 6am – 6pm). The award allows for an agreement between the employer and a majority of employees to substitute a RDO for an alternative day or reach an agreement for working other than the rostered day off cycle, this agreement must be in writing.

Overtime

Overtime is paid for time worked in excess of ordinary hours, or outside of the span of hours Monday to Friday, at a rate of time and a half (150%) for the first two hours, double time (200%) thereafter.

Saturday overtime is 150% for the first two hours’ 200% thereafter, except that all hours worked after noon Saturday are payable at 200%. A minimum engagement or payment of three (3) hours applies for work on a Saturday.

Sunday overtime is 200% for all hours worked. A minimum engagement or payment of four (4) hours.

Overtime for casual employees is based on the relevant full time ordinary rate so as to avoid compounding the casual loading, i.e., time and one half is 175% of the ordinary rate a double time is 225% of the ordinary rate.

National Employment Standards

Modern awards are subject to the following 10 minimum National Employment Standards (NES), set out in the Fair Work Act 2009:

The standards mustn’t be reduced by any Awards, enterprise agreements or employment contracts that result in less favorable conditions for an employee. Full details can be found at National Employment Standards – Fair Work Ombudsman

State Awards

In Western Australia modern awards do not apply to sole traders, unincorporated partnerships, or unincorporated trusts. These enterprises are covered by the Western Australian state awards system. Many conditions in state awards are like those in a modern award equivalent, nevertheless unincorporated members should always check with Master Builders to confirm the state award that applies to them and their employees.

Minimum Conditions of Employment WA

State Awards are subject to following employment conditions under the Minimum Conditions of Employment Act WA

WAGE INCREASES - MODERN AND STATE AWARDS

The Fair Work Commission determines the federal minimum adult wage and award wages, usually in June /July each year. The Western Australian Industrial Commission generally adopts the same increase for state awards.

Master Builders prepares handy wage circulars exclusively for members.