Global Compliance Desk – Australia

Overtime Pay for Casual Employees Under the Horticulture Award

On 2 April 2019, the Fair Work Commission came together on a decision to change the Horticulture Award. The decision changes the Horticulture Award for casual employees to include ordinary hours of work, a night loading and overtime entitlements. It also clarifies the penalty rate for working on public holidays for casual employees. The changes apply from the first full pay period on or after 15 April 2019.

The ordinary hours of work for casual employees other than shift workers will not exceed 304 ordinary hours averaged over an 8 week period provided that:

  • Ordinary hours of work for casual employees can be worked at any time.
  • Each ordinary hour of work worked by a casual employee on any day of the week (excluding public holidays) between 5.00 am and 8.30 pm will be paid at the employee’s minimum hourly wage for his or her classification plus a casual loading of 25%.
  • In a State or Territory that does not observe daylight saving time, by agreement between the employer and a majority of affected casual employees, the 5.00 am to 8.30 pm daily spread of hours can be moved forward one hour (4.00 am to 7.30 pm) for the period of daylight saving time in other States and Territories.
  • Each ordinary hour worked by a casual employee on any day of the week (excluding public holidays) between 8.31 pm and 4.59 am (or 7.31 pm and 3.59 am) will attract a loading of 15% of the employee’s minimum hourly wage for his or her classification (in addition to the casual loading of 25%).
  • The maximum number of ordinary hours which a casual employee may work per engagement, or on any day, is 12 ordinary hours.
  • All time worked in excess of 12 hours per engagement, 12 hours in a single day or 304 ordinary hours over an eight week period will be deemed overtime.

Payment for Overtime – Casual Employees

Each hour worked in excess of 12 hours per engagement, 12 hours in a single day or 304 ordinary hours over an eight week period will be paid at a rate of 175% of the employee’s minimum hourly wage for his or her classification (inclusive of the casual loading).

Public Holiday Pay Rate – Casual Employees

All hours worked by a casual employee on a public holiday (both ordinary hours and any overtime) will be paid at a rate of 225% of the employee’s minimum hourly wage for his or her classification (inclusive of the casual loading).

Shreya Bhattacharya

ABOUT THE AUTHOR

Shreya Bhattacharya

A labor and employment lawyer at Replicon who specializes in global compliance. Replicon provides award-winning products that make it easy to manage your workforce. Replicon is an industry leader in global compliance and has a dedicated team which pro-actively monitors international labor regulations for ensuring proper adherence with specific country rule requirements.

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