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Fair Work System - No Cost Jurisdiction – or is it?
Applications under the Fair Work Act 2009 (Cth) (the Act) have traditionally been considered as a “no cost jurisdiction” where parties, in most circumstances, bear their own costs. An order for costs is often difficult to achieve as the applying party needs to demonstrate the other party acted unreasonably. Two recent cases under two different sections of the Act as outlined below, indicate the threshold requirements for successfully seeking costs may be lowering. Dickason v Endeavour Industries Pty Ltd and ors Background In January 2012, Mr Dickason lodged a general protections application against his former employer, Endeavour Industries Pty Ltd (Endeavour). The matter was listed for conference on 20 February 2012 before Fair Work Australia (FWA). Mr Dickason attended the conference but Endeavour failed to attend. It was subsequently determined that Endeavour failed...
6 July 2012Increase in Unfair Dismissal Cap
Fair Work Australia announced on Tuesday afternoon that the high income threshold in unfair dismissal cases will increase to $123,300. This means from 1 July 2012, employees who are not covered by an enterprise agreement or a modern award, and whose earnings are $123,300 or greater are not protected from unfair dismissal. The high income threshold is calculated by reference to: the employee’s wages; amounts dealt with on the employees behalf or at the employer’s direction for example, superannuation payments over and above the superannuation guarantee charge; and any agreed money value of non-monetary benefits for example, motor vehicles. Payments which cannot be determined in advance, reimbursements and contributions to superannuation in accordance with the superannuation guarantee charge (currently 9%) are not included in calculating earnings. For dismissals occurring on or after 1 July 2012, a cap on the compensation payable will be $61,6...
29 June 2012Annual Wage Review 2012 Increase
On 1 June 2012, Fair Work Australia (FWA) handed down its third annual wage review under the Fair Work Act 2009. As a result of the review, modern award minimum wages will increase by 2.9 percent from the first full pay period on or after 1 July 2012, with commensurate increases in hourly rates on the basis of a 38 hour week.
The increase will also apply to transitional Australian Pay and Classification Scales, State Reference Transitional Awards and Division 2B State Enterprise Awards. Wages in the National Training Wage Schedule will also be adjusted.
The national minimum wage will be increased to $606.40 per week or $15.96 per hour. This is an increase of $17.10 per week or 45 cents per hour. The casual loading for award/agreement free employees has increased from 22 percent to 23 percent. These increases will also apply from