It was a late night for Government yesterday with the JobKeeper legislation rushing through and passing both houses before the end of the day. Last week, we gave you the key points of the JobKeeper payment ( here). However, with the new wage subsidy, employers have been given a new suite of powers to better manage their workforce through the crisis.
Employers that access the JobKeeper payment can direct employees (who receive the benefit of the payment) to work less hours, including up to nil and work different jobs or at different locations (within reason).
Before making any such directions, the employer must:
- have a reasonable belief the direction is necessary to continue the employment of one or more employees;
- give the employee three days' written notice of the intention to give the direction; and
- consult with the employee and keep a record of the consultation.
During any adjusted work arrangement under the new JobKeeper scheme, employees continue to accrue leave and other entitlements, and can access leave based on their original hours and salary.
In addition to changing the ways employees work, the new JobKeeper powers open the door allowing employers to request annual leave be taken, which cannot be unreasonably refused by employees. The catch is, employees must have two weeks' annual leave remaining after any such request.
Employees have also been given additional rights as part of the changes, allowing them to take twice as much annual leave and half-pay and seek secondary employment (within reason) if their employer reduces their hours.
It's important to understand that these are temporary powers which will come to an end on 28 September 2020, along with the arrangements made under them.
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