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Recent legal changes all Australian businesses need to know



We just started a new financial year, so now is a great time to ensure your business is compliant with Australian employment legislation. From wage increases to updated laws, it's essential to be in the know so that your business is covered!

Here's a list to ensure you don't miss any of these significant changes:


  • Superannuation Guarantee: As of 1st July, the Superannuation Guarantee was increased to 11%, bolstering employees' future financial security.


  • National Minimum Wage: As of 1st July 2023, the National Minimum Wage was raised to $23.23 per hour and $882.80 per week. Casual employees will now receive $29.04 per hour.


  • Award Minimum Wage: Employees working under an Industry Award also received a pay increase. From 1st July, their minimum wages enjoyed a 5.75% hike.


  • Migration Changes: Employers looking to sponsor a temporary skilled migrant must ensure they pay them more than the Temporary Skilled Migrant Income Threshold (TSMIT). This limit is set to prevent the exploitation of migrant workers and to ensure that Australian workers' wages are not undercut. The TSMIT has been $53,900 since 2013, but it has been increased to $70,000 on July 1 this year.


  • International Worker Hours Capped: During the COVID-depleted economy, businesses faced challenges in finding staff, prompting the relaxation of the 40-hour-a-week cap for student visa holders. In January 2022, the cap was completely suspended to address workforce shortages. However, starting from July 1, a new limit of 48 hours of work per fortnight was reinstated for student visa holders.

  • Paid Parental Leave Amendment: From 1st July, the paid parental leave amendment has brought with it some changes. Couples can now combine their 18 weeks of paid parental leave pay and 2 weeks of Dad and Partner pay, giving them a total of 20 weeks between them. Single parents are also entitled to 20 weeks of paid parental leave pay. Moreover, parents can now apply for leave in flexible blocks until their child reaches the age of 2, giving them the opportunity to find a perfect work-life balance.


  • Aged Care Employees: Minimum wages for some aged care workers received a much-needed boost of 15% from 30th June 2023. This positive change applies to eligible employees under the:

- Aged Care Award 2010,

- Social, Community, Home Care and Disability Services Industry Award 2010, and

- Nurses Award 2020.


  • Fair Work Information Statement: For permanent employees, there's a brand new Fair Work information statement that you can easily download, ensuring everyone stays informed and updated.


  • Payroll Tax Act 2007: From 1st July, the Payroll Tax Act 2007 introduced a temporary surcharge for businesses paying $10 million or more in wages Australia-wide.


  • High-Income Threshold: The high-income threshold for an employees eligibility for unfair dismissal also increased, reaching $167,500 from 1st July.


  • Unfair Dismissal Compensation: As of July 1, the maximum compensation for a successful unfair dismissal claim reached $83,750, making it even more crucial as an employer to ensure you are doing the right thing.



If these changes seem overwhelming and you need support in remaining compliant with legislation; HR Consulting TAS is here to help.


Whether it's ensuring your employees are paid at or above the current Award rates with the Better Off Overall Test (BOOT) or updating your Parental Leave Policy, I've got you covered. Get in touch, and we can navigate these changes together!



DISCLAIMER:

The content provided on this website serves as a general information resource on the subjects discussed, and should not be considered tailored to specific individual circumstances or a replacement for legal counsel. While we exert significant effort to ensure the accuracy of our information, HR Consulting TAS cannot ensure that all content on this website is consistently accurate, exhaustive, or current. Recommendations by HR Consulting TAS and any information acquired from this website should not be regarded as legal advice.

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