Commonwealth Consolidated Acts

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FAIR WORK ACT 2009 - SECT 16

Meaning of base rate of pay

General meaning

             (1)  The base rate of pay of a national system employee is the rate of pay payable to the employee for his or her ordinary hours of work, but not including any of the following:

                     (a)  incentive-based payments and bonuses;

                     (b)  loadings;

                     (c)  monetary allowances;

                     (d)  overtime or penalty rates;

                     (e)  any other separately identifiable amounts.

Meaning for pieceworkers in relation to entitlements under National Employment Standards

             (2)  Despite subsection (1), if one of the following paragraphs applies to a national system employee who is a pieceworker, the employee's base rate of pay , in relation to entitlements under the National Employment Standards, is the base rate of pay referred to in that paragraph:

                     (a)  a modern award applies to the employee and specifies the employee's base rate of pay for the purposes of the National Employment Standards;

                     (b)  an enterprise agreement applies to the employee and specifies the employee's base rate of pay for the purposes of the National Employment Standards;

                     (c)  the employee is an award/agreement free employee, and the regulations prescribe, or provide for the determination of, the employee's base rate of pay for the purposes of the National Employment Standards.

Meaning for pieceworkers for the purpose of section 206

             (3)  The regulations may prescribe, or provide for the determination of, the base rate of pay, for the purpose of section 206, of an employee who is a pieceworker. If the regulations do so, the employee's base rate of pay , for the purpose of that section, is as prescribed by, or determined in accordance with, the regulations.

Note:          Section 206 deals with an employee's base rate of pay under an enterprise agreement.



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