A guide to theHorticultureAward 2010

Understand your responsibilities

as an employerChanges to Australia’s workplace laws took effect on 1 January 2010:•Introduction of the National

Employment Standards•Horticulture Award 2010 commenced

National Employment Standards• 38 hour standard week• Unpaid parental leave• 10 days paid

personal/carer’s leave• Notice of termination

and redundancy• Long service leave

• Flexible working arrangements

• Four weeks paid annual leave

• Community service leave

• Public holidays• Fair Work Information

Statement

The NES took effect from 1 January 2010:

Horticulture Award 2010• Who the award covers• Who the award doesn’t cover

Transitional arrangements• The award includes arrangements to assist

employers’ move to the new Horticulture Award

• NES apply immediately

If you were in the national system on 1 January 2010…• Pre-existing pay rates, loadings and

penalties continue to apply to 1 July 2010• From 1 July 2010, increases or decreases

can be phased in over five years• If you’re covered by an industrial or

workplace agreement, call the Fair Work Infoline on 13 13 94

If you were in the national system on 1 January 2010…Phasing – what it means for you:1. Determine the wage rates and conditions

that applied before 1 January 20102. Compare these with those in the

Horticulture Award 20103. If there’s a difference, you can phase this

in over five 20% annual instalments from 1 July 2010

Step Pre-modern award

instrument

Modern award

What’s the base hourly rate?

$15 per hr $16 per hr

Any loadings? Casual – 23%. i.e.$3.45 per hr

Casual – 25%. i.e. $4.00 per

hrTotal wage rate? $18.45 per hr $20.00 per hrThe difference is $1.55 per hour higher. The employer can

start paying this rate now, or through annual increases of $0.31 for five years

Phasing – an example:

If you were in the national system on 1 January 2010…

If you moved from the state to the national system on 1 January 2010…• Changes will depend on what you were

previously covered by• Generally, state awards will continue to

apply until 1 January 2011, unless you’re under an enterprise agreement

• Get advice from your industry association or call the Fair Work Infoline on 13 13 94

Pay rates• Until 1 July 2010 - existing rates and

penalties continue to apply• From 1 July 2010 – transitional rates of pay

and penalties in the award take effect• Piecework rates may also be paid instead

of hourly rates

Hours of workFull-time & part-time employees:• 152 hours over four

weeks• Ordinary hours:

– shouldn’t exceed eight hours per day, but can’t exceed 12 hours

– 6am-6pm Mon – Fri• Excess hours are

overtime

Shiftworkers:• 152 hours over four

weeks (shouldn’t exceed 8 hours per day, but can’t exceed 12 hours)

• Afternoon shift finishes 6pm-12am

• Night shift finishes 12am-8am

• Excess hours are overtime

Breaks• Unpaid meal break of 30 mins to one hour,

no later than five hours after starting work• Employees instructed to work during meal

break are entitled to double-time• 10 min rest break each morning.

Additional break may be mutually agreed• 10-hour break between ending and

starting a shift the next day

Overtime• Full-time, part-time and shiftwork

employees entitled to overtime at 150%, and 200% on Sundays (subject to conditions)

• Minimum three hours overtime on a Sunday

• Employees may have time-off instead of overtime

Employment status• Full-time employees

– engaged to work 38 hours per week

• Part-time employees– regular, ongoing basis less

than 38 hours per week• Casual employees

– engaged and paid based on the hours they work

Piecework• Paid on the basis of results achieved or

components produced• Agreed piecework rate must:

– enable average competent employee to earn 15% more than the minimum hourly rate in the award for their classification and status

– be paid for all work performed– be in writing and signed by employee

Piecework – calculating the rate

The daily rate is then divided by the bin or kg rate for an average competent worker

Weekly wage rate $543.90+ casual loading $135.98 ($543.90 x

25%)

+ piecework loading $81.59 ($543.90 x 15%)

Total $761.47Daily wage rate $152.29 ($767.47 ÷ 5)

An example:

Additional information• Employee records

and pay slips• Tax• Overseas

employees on visas

Self-audit checklistCheck that you’re covering your responsibilities under the new system

Additional resources• A CD of resources for horticulture

employers comes with the guide:– Horticulture Award 2010– Fact sheets and best practice guides– Templates, tax and visa information

• You can access these resources from www.fairwork.gov.au/horticulture

For more information• Visit www.fairwork.gov.au/horticulture • Call the Fair Work Infoline on 13 13 94• Contact your industry association:

– Ai Group 1300 783 844www.aigroup.com.au

– AWU 1300 855 653www.awu.net.au

– HAC (02) 6273 9600www.hac.org.au – NFF (02) 6273 3855www.nff.org.au