It has traditionally been common for employers to pay an annual salary to some or all of their employees who are covered by a modern award in satisfaction of the employees’ award entitlements. This is largely due to the administrative ease associated with this approach as compared to paying employees strictly in accordance with the award. However, a recent decision of the Federal Court of Australia has made it far more challenging for employers to take this approach going forward. Indeed, it is likely that many employers are currently in breach of their minimum pay and record-keeping obligations to their salaried employees. In this article by Martin Alden, Partner, and Vincent Harris, Lawyer, they review a recent case in the Federal Court of Australia and highlight the implications for employers who have not yet implemented a sophisticated payroll system to generate necessary records. #CornwallsLaw #OurPeople #EmploymentLaw
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