Fair Work Compliance

Fair Work compliance encompasses an employer's obligations under the Fair Work Act 2009 and associated instruments such as modern awards and enterprise agreements. The Fair Work Ombudsman (FWO) and Fair Work Commission (FWC) administer and enforce these requirements.

Core compliance areas:

• National Employment Standards (NES): 11 minimum entitlements including maximum weekly hours, leave, notice of termination, and the Fair Work Information Statement
• Modern awards: Industry or occupation-specific minimum conditions covering pay rates, hours, overtime, and allowances
• Enterprise agreements: Negotiated agreements between employers and employees that must meet the Better Off Overall Test (BOOT)
• Minimum wages: National minimum wage and award-specific rates, reviewed annually

Key employer obligations:

• Pay and entitlements: Paying at least the minimum rate, including overtime, penalty rates, and loadings
• Record keeping: Maintaining employee records for seven years
• Pay slips: Providing itemised pay slips within one working day of payment
• Leave management: Accruing and managing annual, personal/carer's, parental, and other leave types
• Termination and redundancy: Following proper processes and providing required notice and redundancy pay

Enforcement and penalties:

• The FWO can investigate complaints and initiate litigation
• Civil penalties for contraventions can reach $93,900 per contravention for a company
• Serious contraventions (knowing, deliberate, or systematic) attract penalties up to ten times the standard amount
• Accessorial liability can apply to individuals who are involved in contraventions