Members are advised of changes effective from 1 July 2017:

Annual Wage Review 
The 3.3% wage increase is effective from the first pay period on or after 1 July 2017 and the updated wage schedules for the Hospitality Industry (General)A ward 2010 have been communicated to members and can be found in the members section of the AHA (Vic) website. Wage schedules for the Restaurant Industry Award are available upon request.

Penalty rates
The above mentioned wage schedules incorporate the reduced penalty rates as applicable to the HIGA from 1 July 2017. A HIGA wage schedule without the reduced penalty rates is available upon request for employers who do not wish to pay employees the reduced penalty rates for Sunday and public holidays.

Maximum salary rate for unfair dismissal claim 
As from 1 July 2017 the high income threshold relating to unfair dismissal claims and the coverage of Modern Awards will increase from $138,900 to $142,000.

Employees whose earnings are higher than $142,000 per annum and who are not covered by an industrial instrument are not protected from unfair dismissal.

The maximum compensation for a successful unfair dismissal claim is 26 weeks wages/salary and capped at $71,000 as of 1 July 2017. This threshold does not preclude employees from pursuing other claims such as a general protections / adverse action claim.

Bona fide redundancy payments
As from 1 July 2017 the tax free threshold for a bona fide redundancy payment will increase to $10,155 as the base limit and to $5,078 for each year of completed service. Payment of accrued annual leave and long service leave entitlements connected to a bona fide redundancy continue to be taxed as an employment termination payment (EPT) and at 32% tax.

Fair Work Information Statement 
The Fair Work Information Statement has been updated from 1 July 2017 and can be downloaded from the AHA (Vic) website.

Jury Service 
Payment to jurors for Jury Service has not been increased, to date, and Jury payments are currently $40.00 per day for the first six days and $80.00 per day thereafter. Employers continue to have the obligation to make up the employees wages when the employee is engaged in Jury duty.

Members wishing to discuss these changes should contact the AHA (Vic) on 03 9654 7100.

Regards,

John Sweetman
Workplace Relations Advisor