On Dec. 16, AST GVT issued small business wage compliance code.
AST GVT registered Voluntary small business wage compliance code declaration 2024, which is an instrument to declare the Voluntary small business wage compliance code.
AST GVT also published explanatory statement regarding the instrument above.
Minister for Employment and Workplace Relations may declare a Voluntary small business wage compliance code (code); items 213-222 of amending act which includes a new criminal offense for failing to pay certain amounts of wages, do not commence.
Specifically, they do not commence unless the code is declared; AST GVT explained that the purpose of this instrument is to enact a code under the Fair work act 2009.
Overview of Code
The amending act introduces provisions that set out the criminal offense for failing to pay certain amounts of wages and other entitlements, applies to intentional conduct.
If a small business employer fails to pay an applicable amount to, on behalf of, or for benefit of, employee, a range of civil and criminal enforcement actions may be taken.
A small business employer means an employer with fewer than 15 employees.
However, If AST fair work is satisfied that a small business has complied with the code, AST Fair Work must not refer the employer’s conduct to AST CDPP or the AST AFP.
AST Fair Work must inform employer of the decision; a small business employer will have complied with the code if they did not intend to underpay their employees.
In addition, the code provides a number of non-exhaustive examples; and the code also outlines behaviors that are reasonable or to be expected from employers.
