13.1 Definitions
13.1.1 Business includes trade, process, business or occupation and includes part of any such business.
13.1.2 Redundancy occurs where an employer has made a definite decision that the employer no longer wishes the job the employee has been doing done by anyone and that decision leads to the termination of employment of the employee, except where this is due to the ordinary and customary turnover of labour.
13.1.3 Small employer means an employer who employs fewer than 15 employees.
13.1.4 Transmission includes transfer, conveyance, assignment or succession whether by agreement or by operation of law and transmitted has a corresponding meaning.
13.1.5 Week's pay means the ordinary time rate of pay for the employee concerned. Provided that such rate shall exclude:
13.2 Transfer to lower paid duties
Where an employee is transferred to lower paid duties by reason of redundancy the same period of notice must be given as the employee would have been entitled to if the employment had been terminated and the employer may at the employer's option, make payment in lieu thereof of an amount equal to the difference between the former ordinary rate of pay and the new ordinary time rate for the number of weeks of notice still owing.
13.3 Severance pay
13.3.1 Severance pay - other than employees of a small employer
An employee, other than an employee of a small employer as defined in 13.l, whose employment is terminated by reason of redundancy is entitled to the following amount of severance pay in respect of a period of continuous service:
Period of continuous service Severance pay Less than 1 year Nil 1 year and less than 2 years 4 weeks' pay* 2 years and less than 3 years 6 weeks' pay 3 years and less than 4 years 7 weeks' pay 4 years and less than 5 yeas 8 weeks' pay 5 years and less than 6 years 10 weeks' pay 6 years and less than 7 years 11 weeks' pay 7 years and less than 8 years 13 weeks' pay 8 years and less than 9 years 14 weeks' pay 9 years and less than 10 years 16 weeks' pay 10 years and over 12 weeks' pay* Week's pay is defined in 13.1.
13.3.2 Severance pay - employees of a small employer
An employee of a small employer as defined in 13.1 whose employment is terminated by reason of redundancy is entitled to the following amount of severance pay in respect of a period of continuous service:
Period of continuous service Severance pay Less than 1 year Nil* Week's pay is defined in 13.1.1 year and less than 2 years 4 weeks' pay* 2 years and less than 3 years 6 weeks' pay 3 years and less than 4 years 7 weeks' pay 4 years and over 8 weeks' pay
13.3.3 Provided that the severance payments shall not exceed the amount which the employee would have earned if employment with the employer had proceeded to the employee's normal retirement date.
13.3.4 Continuity of service shall be calculated in the manner prescribed by clause 4 - Definitions. Provided that service prior to 7 July 2004 shall not be taken into account in calculating an entitlement to severance pay for an employee of a small employer pursuant to 13.3.2.
13.3.5 Application may be made for variation of the severance pay provided for in this clause in a particular redundancy situation in accordance with the Redundancy Case Decision [PR032004, 26 March 2004] and the Redundancy Case Supplementary Decision [PR062004, 8 June 2004].
13.4 Employee leaving during notice period
An employee given notice of termination in circumstances of redundancy may terminate his/her employment during the period of notice set out in clause 14 - Notice of Termination. In this circumstance the employee will be entitled to receive the benefits and payments they would have received under this clause had they remained with the employer until the expiry of the notice, but will not be entitled to payment in lieu of notice.
13.5 Alternative employment
13.5.l An employer, in a particular redundancy case, may make application to the Commission to have the general severance pay prescription varied if the employer obtains acceptable alternative employment for an employee.
13.5.2 This provision does not apply in circumstances involving transmission of business as set in 13.7.
13.6 Job search entitlement
13.6.l During the period of notice of termination given by the employer in accordance with 14.1, an employee shall be allowed up to one day's time off without loss of pay during each week of notice for the purpose of seeking other employment.
13.6.2 If the employee has been allowed paid leave for more than one day during the notice period for the purpose of seeking other employment, the employee shall, at the request of the employer, be required to produce proof of attendance at an interview or he or she shall not receive payment for the time absent. For this purpose a statutory declaration will be sufficient.
13.6.3 The job search entitlements under this sub-clause apply in lieu of the provisions of 14.3.
13.7 Transmission of business
13.7.1 The provisions of this clause are not applicable where a business is before or after the date of this award, transmitted from an employer (in this sub-clause called the transmittor) to another employer (in this sub-clause called the transmittee), in any of the following circumstances:
13.7.1(a) Where the employee accepts employment with the transmittee which recognises the period of continuous service which the employee had with the transmittor and any prior transmittor to be continuous service of the employee with the transmittee; or
13.7.1(b) Where the employee rejects an offer of employment with the transmittee:
13.7.2 The Commission may vary 13.7.1(b) if it is satisfied that this provision would operate unfairly in a particular case.
13.8 Employees exempted
This clause does not apply to:
13.9 Incapacity to pay
The Commission may vary the severance pay prescription on the basis of an employer's incapacity to pay. An application for variation may be made by an employer or a group of employers.
14.1 Notice of termination by employer
14.1.1 ln order to terminate the employment of an employee the employer must give to the employee the period of notice specified in the table below:
Period of continuous service Period of notice 1 year or less 1 week Over 1 year and up to the completion of 3 years 2 weeks Over 3 years and up to the completion of 5 years 3 weeks Over 5 years of completed service 4 weeks
14.1.2 In addition to the notice in 14.1.1, employees over 45 years of age at the time of the giving of the notice with not less than two years continuous service, are entitled to an additional week's notice.
14.1.3 Payment in lieu of the prescribed notice in 14.1.1 and 14.1.2 must be made if the appropriate notice period is not required to be worked. Provided that employment may be terminated by the employee working part of the required period of notice and by the employer making payment for the remainder of the period of notice.
14.1.4 The required amount of payment in lieu of notice must equal or exceed the total of all amounts that, if the employee's employment had continued until the end of the required period of Notice, the employer would have become liable to pay to the employee because of the employment continuing during that period. That total must be calculated on the basis of:
14.l.4(a) the employee's ordinary hours of work (even if not standard hours); and
14.1.4(b) the amounts ordinarily payable to the employee in respect of those hours, including (for example) allowances, loading and penalties; and
14.1.4(c) any other amounts payable under the employee's contract of employment.
14.1.5 The period of notice in this clause does not apply:
14.1.5(a) in the case of dismissal for serious misconduct;
14.1.5(b) to apprentices;
14.1.5(c) to employees engaged for a specific period of time or for a specific task or tasks;
14.1.5(d) to trainees whose employment under a traineeship agreement or an approved traineeship is for a specified period or is, for any other reason, limited to the duration of: the agreement; or
14.1.5(e) to casual employees.
14.1.6 continuous service is defined in clause 4 - Definitions.
14.2 Notice of termination by an employee
14.2.1 The notice of termination required to be given by an employee is the same as that required of an employer, save and except that there is no requirement on the employee to give additional notice based on the age of the employee concerned.
14.2.2 If an employee fails to give the notice specified in 14.1.1 the employer has the right to withhold monies due to the employee to a maximum amount equal to the amount the employee would have received under 14.1.4.
14.3 Job search entitlement
Where an employer has given notice of termination to an employee, an employee shall be allowed up to one day's time off without loss of pay for the purpose of seeking other employment. The time off shall be taken at times that are convenient to the employee after consultation with the employer.
14.4 Transmission of business
Where a business is transmitted from one employer to another, as set out in clause 13 - Redundancy, the period of continuous service that the employee had with the transmit or any prior transmittor is deemed to be service with the transmittee and taken into account when calculating notice of termination. However, an employee shall not be entitled to notice of termination or payment in lieu of notice for any period of continuous service in respect of which notice has already been given or paid for.
PART 5 - RATES OF PAY AND RELATED MATTERS
15.1 Rates of pay for adult employees
Adult employees, other than those specified in 15.2, shall be entitled to receive the award rate of pay for the relevant classification as set out in 15.3.
15.2 The following adult employees are not entitled to receive the award rate of pay set out in 15.3:
15.3 Rates of pay
15.3.1 Classification tables
Classification Relativity Alignment to qualification
Postal services stream
Postal services officer trainee 87.4% N/A
Postal services officer level 1 92.4% Certificate II
Postal services officer level 2 100% Certificate III
Postal services manager level 1 115% Certificate IV
Postal services manager level 2 130% Diploma
Postal delivery stream
Postal delivery officer trainee 87.4% N/a
Postal delivery officer level 1 92.4% Certificate II
Postal delivery officer level 2 100% Certificate III
Postal delivery officer level 3 115% Certificate IV
15.3.2 Schedule of rates of pay
Wage group Award rate per week Hourly rate
$ $
Minimum wage 467.40 12.30
Postal services officer
PSO trainee 506.60 13.33
PSO level 1 526.50 13.86
PSO level 2 561.20 14.77
Postal services
manager level 1 621.80 16.36
Postal services
manager level 2 684.40 18.01
Postal delivery officer
PDO TRAINEE 506.60 13.33
PDO LEVEL 1 526.50 13.86
PDO LEVEL 2 561.20 14.77
PDO LEVEL 3 621.80 16.36
15.4 Classification definitions and skill based career paths
The definitions of classifications for each of the wage levels referred to in 15.3 are set out in Schedule A - Classification standards.
15.5 Procedure for classifying employees
15.5.1 Upon a request being made by an employee, the employee shall be advised of the award classification which the employer considers to be appropriate having regard to the definitions in this award and the duties performed by the employee.
15.5.3 If an employee disputes the classification assigned to him/her by the employer the employee must advise the employer in writing. If the dispute is unable to be resolved by the employer and the employee in a reasonable time it will be dealt with in accordance with clause 10 - Dispute resolution.
15.6 Federal adult minimum wage
15.6.1 The federal minimum wage
No employee shall be paid less than the federal minimum wage.
15.6.2 Amount of federal adult minimum wage
15.6.2(a) The federal minimum wage for full-time adult employees not covered by 15.6.4 is $467.40 per week.
15.6.2(b) Adults employed under a supported wage clause shall continue to be entitled to receive the wage rate determined under that clause. Provided that such employees shall not be paid less than the amount determined by applying the percentage in the supported wage clause applicable to the employee concerned to the amount of the minimum wage specified in 15.6.2(a).
15.6.2(c) Adults employed as part-time or casual employees shall continue to be entitled to receive the wage rate determined under the casual and part-time clauses of the award. Provided that such employees shall not be paid less than pro rata the minimum wage specified in 15.6.2(a) according to the number of hours worked.
15.6.3 How the federal minimum wage applies to juniors
15.6.3(a) The wage rates provided for juniors by this award continue to apply unless the amount determined under 15.6.3(b) is greater.
15.6.3(b) The federal minimum wage for an employee to whom a junior rate of pay applies is determined by applying the percentage in the junior wage rates clause applicable to the employee concerned to the relevant amount in 15.6.2.
15.6.4 Application of minimum wage to special categories of employee
Due to the existing applicable award wage rates being greater than the relevant proportionate federal minimum wage, this clause has no application to employees undertaking a National Training Wage Traineeship, an Australian Traineeship, a Career Start Traineeship, a Jobskills placement or an apprenticeship.
15.6.5 Application of federal minimum wage to award rates calculation
The federal minimum wage:
15.6.5(a) applies to all work in ordinary hours
15.6.5(b) Applies to the calculation of overtime and all other penalty rates, superannuation, payments during sick leave, long service leave and annual leave, and for all other purposes of this award; and
15.6.5(c) is inclusive of the arbitrated safety net adjustment provided by the Safety Net Review - Wages May 2004 decision [PR002004] and all previous safety net and national wage adjustments.
15.7 Junior rates
15.7.1 Subject to any conditions otherwise prescribed, an employee under 21 years of age and who is employed in any classification listed in Table 1 below shall be paid a rate of pay, calculated to the nearest cent, by applying the appropriate percentage for the age of the employee as specified in Table 2 below, to the minimum award rate of an adult employee of the same classification.
15.7.1(a) Table 1
15.7.1(b) Table 2
Age of employee % of adult salary 15 years 50% 16 years 60% 17 years 70% 8 years and over 100%
15.8 The rates of pay in this award include the arbitrated safety net adjustment payable under the Safety Net Review - Wages May 2004 decision [PR002004]. This arbitrated safety net adjustment may be offset against any equivalent amount of rates of pay received by employees whose wages and conditions of employment are regulated by this award which are above the wage rates prescribed in the award. Such above-award payments include wages payable pursuant to certified agreements, currently operating flexibility agreements, Australian workplace agreements, award variations to give effect to enterprise agreements and overaward arrangements. Absorption which is contrary to the terms of an agreement is not required.
Increases made under previous National Wage Case principles or under the current Statement of Principles, exceeding those resulting from enterprise agreements, are not to be used to offset arbitrated safety net adjustments.
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