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LEGAL AND IR
NATIONAL
Major changes to part-time hours in the general retail industry award MGA, with the support of COSBOA was involved in a joint application to the Fair Work Commission (FWC) requesting changes to the part-time clause in the General Retail Industry Award (GRIA). The FWC agreed to amend the GRIA, effective from 1 July 2021. These changes now allow a parttime employee to work additional hours without needing to be paid overtime rates.
Previously, if a part-time employee had an agreed number of hours, for example, 12 hours per week, they would need to be paid overtime for any hours worked above the agreed 12 hours.
the significant overtime payments that would otherwise have been required to be paid. This change will also help manage the impacts that casual conversion is having on employers.
Employers must ensure that part-time employees do not work more than 38 hours in a week. If this occurs, any time worked above 38 hours must be paid at overtime rates.
Currently, employers and employees can agree to vary the employees guaranteed hours on a temporary or continuing basis if this is confirmed via an email, text message, or another form of written communication. The effect will mean that the part-time employee can work agreed additional hours, up to 38 hours in a week, without the payment of overtime rates.
Employers must ensure that any agreement to work extra hours at ordinary pay is made in writing (including text messages) before the end of the affected shift.
The FWC has advised employers that the variation process must not be used on any one employee week to week or fortnight to fortnight to avoid retail entitlements; however, there is no other clause in the GRIA that governs how frequently the variation process can be implemented.
A part-time employee is also permitted to ask their employer to review the employees guaranteed hours if they have worked in excess of their guaranteed hours over the last 12 months. These new changes allow employers in the retail industry some much-needed ability to extend or rearrange the hours of part-time employees without incurring
mga.asn.au | July - August 2021 | Edition 4
For example, if there is a part-time employee in the middle of a guaranteed 6-hour shift on a Friday morning, the employer can send the employee a text message asking them to work an additional number of hours (such as 2) at the ordinary rate of pay. The employee will then need to respond to the text message agreeing to the variation before the two extra hours are due to commence. This process will be the same if an employer asks an employee to pick up an additional shift on a particular day in the future.
Employers must keep a copy of all written agreements to vary shifts in the relevant employee’s file. Should you have any queries, please do not hesitate to contact the Legal and IR team on 1800 888 479.
