Award interpretation

Is there anything more complicated than understanding a Fair Work Commission Award? How about understanding those 150 pages of the Award and applying it per employee every pay run? Australian Modern Awards are complex.

TurnPoint Pay’s pre-built Modern Awards make it easy for payroll managers to pay staff correctly, each and every pay run. 

Wait, what’s a Modern Award?

A Modern Award is a document developed by the Fair Work Commission (FWC) that sets the minimum terms and conditions of employment for employers and employees in a particular industry or occupation. 

Modern Awards are given legal effect by the Fair Work Act 2009 (Cth) (FW Act), under which it is an offence to breach the terms of a Modern Award. 

There are 122 Modern Awards of general application that have replaced the previous State and Federal Awards. 

Ok, so what’s in an Award?

Most significantly, Modern Awards set the minimum rates of pay for employees, which can vary significantly between Modern Awards depending on the industry and the classification of the employee in question. 

Modern Awards also set a range of other employment terms and conditions such as: 

• Penalty rates – for work performed on weekends or outside of usual hours of operation; 
• Overtime rates – for work in excess of an employee’s ordinary hours; 
• Allowances – paid to employees for performing certain duties (e.g. first aid allowance or travel allowance); and 
• Break arrangements – when employees should receive breaks and how long they should be. 

The terms and conditions of employment vary from Modern Award to Modern Award, so employers should never assume that the terms and conditions of one Modern Award will apply consistently throughout all Modern Awards. 

If a Modern Award covers an employer and its employees, then the employer must comply with the terms of the Modern Award. 

Serious penalties apply for failure to comply with the terms of a Modern Award. 

Modern Awards are non-negotiable and cannot be displaced by an employment contract. 

We know, it’s a lot 

There is a lot of information to get your head around, and at times it can all be a bit much. TurnPoint Pay minimises the busy work, and eliminates the need for unnecessary excel spreadsheets. It offers a complete payroll software solution that handles the basics such as: 

• STP integration 
• ABA File Export 
• Superannuation clearing house 
• Staff Portal for Payslips 
• Leave Management 

As well as the ability to download as many Awards as needed, with the ability to attach them to each employee, therefore minimising workload.   

Compliance confidence 

TurnPoint Pay offers an extensive list of pre-built Modern Awards so employers can rest assured they are compliant in payroll (including SCHADS). The Modern Awards are kept up-to-date, so employers are assured that Award calculations comply with Fair Work. 

Pay employees correctly each and every time

Flexibility 

Pre-built Awards can be selected from the library, or use the pay conditions engine to build individualised Enterprise Agreements, ensuring payroll is processed to unique payroll scenarios. 

Pay above the award? 

All pay categories are linked, so if employee base rates change, all other penalties under the Award are automatically updated. 

Built-in rule tester 

Interpret employees’ timesheets and calculate their costs at any time. Employers can also view what pay conditions will apply.

Automated updates 

Ensure employees are paid at the correct rate according to Fair Work, and never worry about a payroll audit again. The system manages all Fair Work Commission updates.

Automated birthday / anniversary adjustments 

Keeping track of employee birthdays and anniversaries is also a breeze. TurnPoint Pay automatically updates birthday and anniversary pay rates for junior, apprentice, and trainee employees. 

Tailored to each provider 

Whether it’s weekly, fortnightly, four-weekly or monthly, TurnPoint Pay’s shift period options auto-calculate overtime. This removes the mess of calculating hours worked, and lets payroll administrators re-focus their attention to more important tasks. 

Built-in rules 

Remove manual calculations of higher duty payments and allowances using our built-in rules associated with awards and Employment Agreements. Calculate overtime across a defined period, automatically accrue time in lieu.  

Rule conditions 

Different wage rates, penalties, allowances, or overtime based on location, cost centres, day of the week, or public holidays? Shift workers? The system automatically calculates pay rates based on specific working requirements. 

Pay conditions 

For providers that have conditions such as accrual of Rostered Days Off, or Time Off in Lieu of overtime, these conditions can be automated using the pay conditions engine.

Automated custom super threshold 

Tailor minimum monthly superannuation threshold amounts according to award requirements. Super automatically accrues on Ordinary Time Earnings pay categories.