Guide to Overtime for Part time and Casual Employment Arrangements
This information is provided as a guide only. Members should contact THA to discuss their specific circumstances where required. Further to the Fair Work Commission (FWC) as part of the 4 Year Modern Award Review process set out how the existing casual and part time employment arrangements in the hospitality industry would be varied and earlier bulletins on such, this updated bulletin provides further examples of how overtime may or may not apply. These variations become operational from the first full pay period on or after 1 January 2018. The changes include the introduction of overtime for casual employees when they work a certain number of hours and also the introduction of some more flexible hours of work arrangements for part-time employees. WHO DO THE CHANGES AFFECT? The changes are different for each award, so they vary depending on the respective awards covering your business. The decision introduces overtime rates for casual employees in many of these awards and changes how part-time hours can be worked in others. WHEN WILL THE VARIATION TAKE EFFECT? From the first full pay period commencing on or after 1 January 2018. For example, if you operate a weekly pay period which commences on a Monday, the variation will commence 1 January 2018. SUMMARY OF THE RESPECTIVE AWARD CHANGES? Hospitality Award Part-time employees • Part-time employees are engaged for a minimum of 8 hours and less/fewer than 38 ordinary hours per week over a roster cycle. • Employers and employees must agree on the minimum number of hours to be worked each week and the times the employee is available to work. • Part-time employees can be rostered for additional hours during their availability period without getting payment for overtime. • A part-time employee who regularly works additional hours for 12 months may ask to increase their guaranteed hours. Employers may only refuse on reasonable business grounds. Casual employees Now have an entitlement to overtime pay. When working: • More than 38 hours per week, or an average of 38 hours per week over a roster cycle (which may not exceed 4 weeks). • More than 12 hours per day. Registered Clubs Award Part-time employees • Part-time employees are engaged for a minimum of 8 hours and less/fewer than 38 ordinary hours per week over a roster cycle.
• Employers and employees must agree on the minimum number of hours to be worked each week, and the times the employee is available to work. • Part-time employees can be rostered for additional hours during their availability period without getting payment for overtime. • A part-time employee who regularly works additional hours for 12 months may ask to increase their guaranteed hours. Employers may only refuse on reasonable business grounds. Casual employees Casual employees now have an entitlement to overtime pay as per below When working: • More than 38 hours per week, or an average of 38 hours per week over a roster cycle (which may not exceed 4 weeks). • More than 12 hours per day. • Part-time employees are engaged for a minimum of 8 hours and less/fewer than 38 ordinary hours per week over a roster cycle. • Employers and employees must agree on the minimum number of hours to be worked each week, and the times the employee is available to work. • Part-time employees can be rostered for additional hours during their availability period without getting payment for overtime. • A part-time employee who regularly works additional hours for 12 months may ask to increase their guaranteed hours. Employers may only refuse on reasonable business grounds. Casual employees Casual employees now have an entitlement to overtime pay. When working: • More than 38 hours per week, or an average of 38 hours per week over a roster cycle (which may not exceed 4 weeks). • More than 12 hours per day or shift. Retail Award Casual employees now have an entitlement to overtime pay. When working: • More than 38 hours per week, or an average of 38 hours per week over a roster cycle outside of the span of ordinary hours. • More than 11 hours on one day of the week, and more than 9 hours on any other day of the week. This guide has been developed to help members understand what the changes are for casual and part-time employees under relevant awards and the below examples of how to practically implement and adhere to these changes. Restaurant Award Part-time employees
February 2018 www.australianhotels.asn.au
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