In response to the COVID-19 pandemic, a determination released by the Fair Work Commission has resulted in an additional schedule added to many of the modern awards. To access the list of awards click here.

The Schedule X provides for additional measures during the COVID-19 pandemic such as 2 weeks of unpaid pandemic leave and annual leave at half pay. These provisions are effective from the first full pay period on or after 8 April 2020 and will operate until 30 June 2020.

Further Changes to Modern Awards

Morrison Government restrictions on businesses have led to restaurants and cafes limiting operations to takeaway, as well as businesses implementing working from home arrangements. So far, this has given rise to three modern award amendments. The Clerks-Private Sector Award 2010, Hospitality Industry (General) Award 2010 and the Restaurant Industry Award 2010 have had new schedules inserted to allow for flexibility during the pandemic. These changes are summarised below.

Clerks-Private Sector Award 2010

The recent changes to the Clerks Award are effective as at 28 March 2020 until 30 June 2020.

Working between classifications

Employers can now direct employees to perform duties that may not fall under their classification if they are competent and safe to do so, without any reduction in pay. The schedule does not specifically address a situation where the employee performs from a higher classification. However, if the employee is directed to do so, then the remuneration should be paid in line with the higher duties clause specified in clause 19.7 of the award.

Minimum engagement

Employees engaged on either a part time or casual basis from home can be engaged or paid for a minimum of 2 hours per shift.

Ordinary hours

Ordinary hours for employees working from home can be extended by agreement to 6.00am to 11.00pm Monday to Friday, and 7.00am and 12.30pm on Saturday.

Employers and permanent employees can agree to temporarily reduce ordinary hours during this period, if at least 75% of the employees vote in favour of the changes. However, this decrease cannot result in the employee working fewer than 75% of their ordinary hours prior to these changes.

Annual leave

Employees will now be able to take twice as much annual leave by proportionally reducing their rate of pay. Employers also now have the discretion to direct employees to take annual leave by giving one week’s notice, provided the employee still has two weeks remaining in the bank.

If a business was to temporarily close-down operations, the employer can direct employees to take paid or unpaid leave by providing the employee with one week’s notice of the close down. During this time, any period of unpaid leave will continue to count as service in relation to the NES and award entitlements.

Hospitality Industry (General) Award 2010 & Restaurant Industry Award 2010

The Hospitality Industry Award changes were effective as at 24 March 2020 and the Restaurant Industry award changes as at 31 March 2020.

Working between classifications

Employers may now direct their employees to perform any duties that are within their skill and competency, regardless of their classification, as long as it safe to do so and the employee is licensed and qualified. The higher duties clause will continue to apply to employees working in higher classifications.

Ordinary hours

An employer may now direct a full-time employee to work an average of between 22.8 hours and 38 hours per week and will be paid on a pro rata basis. They can also direct a part time employee to work an average of 60% and 100% of their guaranteed hours per week or hours per week over the usual roster. Prior to making such changes, the employer must consult with the affected employees and notify the United Workers Union if the affected employee is a member. If directed as such, the employee will still accrue annual leave and personal leave as normal based on their ordinary hours of work. If an employee takes paid annual leave or personal leave, the payment for that leave will be based on their ordinary hours of work.

Annual leave

An employer may now direct an employee to take annual leave with 24 hours of notice having regard to the employee’s personal circumstances. The employer and employee may now agree to taking twice as much annual leave at half the rate of pay for all or part of any period of annual leave.

Specifically, for the Restaurant Industry Award 2010; If a business temporarily closes-down their operations, the employer can direct employees to take paid or unpaid leave by providing one week’s notice. During this time, any period of unpaid leave will continue to count as service in relation to the NES and award entitlements.

How we can assist

For further clarification our members can call our Advice Line on 03 8662 5222 or you can register to be notified of any changes to award(s) which are applicable to your business. Award subscription via the chamber will allow you to receive summarised, user friendly tables which highlight the key differences that occur when awards are modified.

Written by Ashlee Edwards, Eliza Johnstone & Gerri Carreon Graduate Workplace Relations Advisors