Superannuation rules updated in awards – Fair Work Australia
As of the 9th April 2024, the Fair Work Commission has updated award provisions relating to superannuation in 147 awards, reflecting the current superannuation rules and the new right to superannuation contributions included in the National Employment Standards.The new right to superannuation contributions took effect on the 1st January 2024. The change means that most employees are able to take court action under the Fair Work Act to recover underpaid or unpaid superannuation.
Superannuation obligations have pre-existed prior to the update of the awards. Ensuring compliance with employer obligations under the superannuation guarantee laws remains an integral component of being an employer. Employer obligations further extend to employer sponsorship obligations framework and remaining compliant within Australian immigration framework. All necessary steps should be taken to ensure your business is compliant with relevant legislation.
A breach of sponsorship obligations could result in severe penalties for businesses including but not limited to civil action or sponsorship sanctions, preventing the opportunity for the business to sponsor foreign workers.
Should you have queries with regard to employer obligations, it is important to seek professional guidance from an employment law specialist.
Superannuation rules updated in awards
Awards have been updated to reflect superannuation as an entitlement under the National Employment Standards (NES).
What's changed
The Fair Work Commission (the Commission) has updated the rules about superannuation in 147 awards. The Commission is the national workplace relations tribunal.
The Commission made these updates to make sure that awards reflect the current superannuation rules. This includes the new right to superannuation contributions included in the NES, which took effect from 1 January 2024.
The Commission’s updates take effect from 9 April 2024.
While most awards were updated by the Commission, some weren’t for several reasons. For a copy of the Determinations updating the awards.
Right to superannuation in the NES
From 1 January 2024, the NES included a right to superannuation contributions. This means that most employees covered by the NES can take court action under the Fair Work Act to recover unpaid or underpaid superannuation. Learn more at Superannuation under the National Employment Standards.
Employers already have an obligation to pay superannuation contributions for eligible employees under superannuation guarantee laws.
The Australian Taxation Office (ATO) has main responsibility for ensuring compliance with employer obligations under superannuation guarantee laws.
Source: https://crystalpress.com.au/superannuation-rules-updated-in-awards-fair-work-australia/
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