Prepare for a stellar HR year-end: A helpful EOFY checklist
Mark your calendars for a change. As the financial year draws to a close, it's time to ensure your HR practices are on point and compliant for the year ahead with our summary checklist below:
Increases to pay rates and allowances: From 1st July 2023, pay rates and allowances in Modern Awards will be leaping. Don't forget to review and adjust the rates for your award-covered employees, including those office workers under the Clerks Award, Professional Employees Award, and Miscellaneous Award. The Fair Work Commission has published determinations containing the increased rates and allowances. Don’t forget that compulsory superannuation contributions increase from 1 July too. If you have enterprise agreement terms linked to the Federal Minimum Wage (or other economic indicators from 1 July), it’d be a good time to check in on those.
Annualised salaries: crunch the numbers: While you're at it, take a moment to review annualised salaries too. Ensure they are still sufficient to compensate employees for all their Award or Agreement entitlements.
Update guarantees of annual earnings: The high income threshold will increase to $167,500 from 1 July. This impacts several things, from access to unfair dismissal and the compensation cap. It’s also relevant if you’ve entered into guarantees of annual earnings with your employees exempting them from Modern Award application and you want them to continue. Time to review these and update where necessary!
Review policies and contracts: As contained in previous updates a number of changes to workplace law took effect from 6 June 2023. It’s a good time to ensure your policies and contracts are up to date, including in relation to flexible working requests and pay secrecy terms.
Review the further changes coming under the Protecting Worker Entitlements Bill: It’s also timely to review the changes that will be bought in by the Fair Work Legislation Amendment (Protecting Worker Entitlements) Bill 2023 which was passed by Parliament on 22 June 2023 and awaits Royal Assent. Among other changes, the Bill introduces a right to superannuation in the National Employment Standards and substantial changes to unpaid parental leave – it’s worth getting across these now and updating your parental leave policy and procedures in advance of the changes commencing.
Keeping on top of things will help businesses confidently approach the year-end and ensure a stellar HR year ahead. Staying proactive helps ensure compliance and a strong foundation for success.
For personalised support and expert guidance, contact us. We're here to make your HR practices shine and help navigate the complexities.
