We are about to step into a new financial year, which means that numerous reference points relevant to employment law will alter due to annual indexation and changes to the law.
Below are some of the most important changes set to apply from 1 July 2019:
Salary Cap for Unfair Dismissal
$148,700.
This is up from the previous $145,400. Employees earning more than $148,700 base salary per annum, and who are not covered by an award, cannot claim unfair dismissal. Base salary does not include 9.5% superannuation and at-risk remuneration, but does include the value of other guaranteed monetary or non-monetary benefits.
Filing fee for dismissals, general protections and anti-bullying applications
$73.20, up from $71.90.
Compensation Limit for dismissals
$74,350, up from $72,700.
National Minimum Wage
$740.80 per week, up from $719.20 per week – or $19.49 per hour, up from $18.93 per hour.
Superannuation Guarantee Percentage
9.5%.
Maximum Super Contribution Base
$55,270 per quarter, or $221,080 per annum, earnings above which are not subject to compulsory contributions.
Redundancy Tax Concessions
In a genuine redundancy payment, $10,638 plus $5,320 for each year of completed service is tax free.
Employment Termination Payment cap
$210,000.
For more information, please see: Applying the ETP caps (ATO).
Fair Work Information Statement
This document must be given to all employees on commencement of employment. It is crucial for employers to view the updated version for 2019-2020.
For more information, click here.
NB. The 2019-20FY Information Statement has not been made available as of this article’s publication date, but will be accessible via the above link from 1 July 2019.
Point for attention
Beware of paying less than the National Minimum Wage to any employee not covered by any age or disability-related percentage rate.
If you would like to speak with someone in Coleman Greig’s Employment Law team in relation to any of the above information, please don’t hesitate to get in touch today:
