Gemma Wheeler Carver, Senior Associate, and Murray Thornhill, Director, in our Employment and Dispute Resolution teams, share their EOFY Employment Law Checklist 2022 that outlines the main issues that employers should check during this time of year.
The end of the financial year is an extremely busy time for all businesses, but it's important you don't neglect your employment law obligations during this period. We've put together a quick checklist of the main issues you should check on before 30 June 2022.
From 1 July 2022, the superannuation guarantee percentage increases from 10% to 10.5%. For employees paid on the basis of a salary exclusive of superannuation, employers will need to ensure that they commence paying an additional amount of superannuation into the employee's superannuation account from 1 July. For employees paid a salary inclusive of superannuation, employers will need to re-calculate the portion of an employee's salary that is paid into their superannuation account, rather than into their payroll account.
Over the next few weeks, the Fair Work Commission will announce the annual minimum wage increase for employers in the federal system. Last year, the wages were increased by 2.5% to $772.60 per week (or $20.33 per hour). The Federal government has made submissions that the 2022 increase be at least the inflation rate, currently 5.1%, however, the Commission will consider all submissions from industry and other interested parties before making its decision.
The WA Industrial Relations Commission will also shortly announce the State increases. The current minimum wage for State employers (sole traders, partnerships, and some incorporated associations) is $20.55 per hour.
Keep an eye out for our article here "Federal and State wage increase decisions 2022" once the announcements are made.
With vaccinations now rolled out for most age groups and many WA government mandates ending on 10 June 2022, employers may wish to reconsider their policies and assess whether any changes are required. We have previously written about that here.
The end of the financial year is also a good time to:
- Review policies and procedures;
- Ensure all employees have updated employment contracts, including to ensure all employees are paid above the minimum rates;
- Ensure all other record-keeping is up-to-date including payslips, time and leave records, individual flexibility arrangements, and guarantees of annual earnings;
- Assess your casual workforce and determine whether any employees need to be given notice of their entitlement to seek "casual conversion".
Health and safety:
This is also a good time to check in on your health and safety obligations, especially with the new Work Health and Safety Act 2020 (WA) which has now come into effect.Read more about your obligations here.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.