DETERMINATION

Fair Work Act 2009
s.156—4 yearly review of modern awards

4 yearly review of modern awards—Payment of wages
(AM2016/8)

MANUFACTURING AND ASSOCIATED INDUSTRIES AND OCCUPATIONS AWARD 2020
[MA000010]

4 yearly review of modern awards – common issue – payment of wages – payments on termination – Manufacturing and Associated Industries and Occupations Award 2020.

A. Further to the Full Bench decision issued by the Fair Work Commission on 18 August 2020 [[2020] FWCFB 4292], the above award is varied as follows:

1. By deleting clause 27.3.

2. By renumbering clauses 27.4 to 27.6 as clauses 27.3 to 27.5.

3. By inserting a new clause 27.6 as follows:

27.6 Payment on termination of employment

(a) The employer must pay an employee by the end of the next business day after the day on which the employee’s employment terminates:

(i) the employee’s wages under this award for any complete or incomplete pay period up to the end of the day of termination; and

(ii) all other monies that are due to the employee under this award.

(b) The employer must pay an employee all amounts due to the employee under the NES no later than 7 days after the day on which the employee’s employment terminates.

(c) The requirement to pay wages and other amounts under clauses 27.6(a) and (b) is subject to further order of the Commission and the employer making deductions authorised by this award or the Act.

NOTE 1: Section 117(2) of the Act provides that an employer must not terminate an employee’s employment unless the employer has given the employee the required minimum period of notice or “has paid” to the employee payment instead of giving notice.

NOTE 2: Clause 27.6(c) allows the Commission to make an order delaying the requirement to make a payment under clauses 27.6(a) or (b). For example, the Commission could make an order delaying the requirement to pay redundancy pay if an employer makes an application under section 120 of the Act for the Commission to reduce the amount of redundancy pay an employee is entitled to under the NES.

NOTE 3: State and Territory long service leave laws or long service leave entitlements under section 113 of the Act, may require an employer to pay an employee for accrued long service leave on the day on which the employee’s employment terminates or shortly after.

4. By updating the cross-references accordingly.

B. This determination comes into operation from 9 September 2020. In accordance with s.165(3) of the Fair Work Act 2009 this determination does not take effect in relation to a particular employee until the start of the employee’s first full pay period that starts on or after 9 September 2020.

PRESIDENT

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