Published: 3 April 2014
Category: Industry News
"The Australian Industry Group (Ai Group) has filed proposed new model annual leave clauses for all awards in the Fair Work Commission's Annual Leave Common Issues proceedings. Annual leave is a day to day issue for employers and employees and it is about time that award provisions reflect the needs of 21st century workplaces," Ai Group Chief Executive Innes Willox said today.
The Annual Leave Common Issues case is part of the Commission's 4 Yearly Review of Modern Awards which has just commenced.
The model clauses which Ai Group is seeking to have included in all modern awards, cover:
- The implementation of a "purchased leave" arrangement by agreement between an employee and the employer. Under "purchased leave" arrangements, an employee has additional annual leave in a year (e.g. 8 weeks) with a corresponding reduction in salary, either:
- For the period of the annual leave - e.g. half pay for twice the annual leave; or
- For the period of the year when the employee is not on annual leave.
- The cashing out of annual leave by agreement between an employee and the employer, provided that at least four weeks' of accrued leave is maintained;
- The granting of annual leave in advance by agreement between an employee and the employer, with the employer having the ability to deduct payment for any leave granted in advance from money owed on termination;
- The right of an employer to direct an employee to take annual leave where the employee's accrued leave is excessive; and
- The right of an employer to require employees to take annual leave during a close-down.
The case is listed for an initial conference on 27 March 2014, chaired by the President of the Commission.
"Ai Group's proposals preserve a high level of protection for employees, while ensuring that employees and employers have access to flexible arrangements to meet their personal and enterprise circumstances" Mr Willox said.
