Shift work entitlements and penalty rates stump 1 in 2 Australian payroll departments

WITH EMPLOYEE underpayment scandals occurring with increasing regularity, new research has revealed that 48 percent of organisations want better information on penalty rates and other shift work entitlements, to enable their payroll departments to do their jobs better.

The research comes from a survey of more than 630 payroll managers by the Australian Payroll Association, one of Australia’s leading networks in payroll training, consulting and advisory for employers.

The results indicated that the building and construction industry most struggled with understanding shift work entitlements: 74 percent of payroll managers admitting they required more knowledge of this entitlement for better job performance. This compared with half the amount (37 percent) of payroll managers from the professional, scientific and technical services industries that felt they required more knowledge regarding shift work entitlements, including penalty rates.

The data also revealed which other entitlements payroll managers require more knowledge of: Forty-five (45) percent need more information about general tax requirements across multiple employee payment categories, 40 percent need more knowledge of long service leave payment rules, and 43 percent need more information on redundancy pay entitlements.

Payroll managers in smaller companies of under 50 people were much more concerned about redundancy pay, with 59 percent declaring it was an entitlement they required more information about to perform their job to a higher standard. This compared with only 31 percent of payroll managers at large companies with more than 5,000 employers who felt they needed more information on this entitlement.

Tracy Angwin, a leading Australian expert on payroll and the CEO and founder of the Australian Payroll Association, said, “With more and more companies facing Fair Work action as a result of employee underpayments, organisations must minimise the incidence of payroll errors. Payroll managers require proper training and qualification to maximise job performance and accuracy.

"The Australian Payroll Association offers online and in-person training sessions, as well as formal payroll qualifications for payroll personnel, to help them keep up-to-date with the technical aspects of payroll. We can also help them to find out how they can automate or simplify their payroll processes, as well as optimise their payroll functions.”

Q. Which aspects of awards and legislation around employee payments and entitlements require more knowledge to perform your job to the best of your ability? Choose all that apply

Shift worker entitlements, including penalty rates

48%

General tax requirements across multiple employee payment categories

45%

Redundancy pay

43%

Long service leave

40%

Wages of salary

23%

Superannuation

16%

Annual leave

7%

Sick leave

6%

 

About Australian Payroll Association

Australian Payroll Association is one of Australia’s leading networks in payroll training, consulting and advisory for employers. It offers end-to-end payroll process reviews, compliance auditing, specialist recruitment services, payroll qualifications and training courses, and a membership program. Established in 2010, Australian Payroll Association offers the only nationally accredited payroll qualifications at Certificate IV and Diploma level through its registered training organisation, Australian Payroll Institute. It also holds annual events including its national conference and end of year seminars, in addition to releasing an annual Payroll Benchmarking Report. It also has a regular digital podcast series called ‘Talking Payroll’. 

austpayroll.com.au.

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