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Fair Work Commission introduces changes to annual leave

Changes to Australia’s annual leave system have today been introduced by the Fair Work Commission (FWC).

A review of annual leave award provisions has resulted in a range of changes, including new capabilities for employers to direct employees to take paid annual leave when the worker is accumulating a excessive amount of leave.

Other changes include: employees on an EFT means of payment can be paid in their usual cycle during paid leave, as opposed to prior to leave commencing; employers can now grant leave in advance; and employees, assuming their employer agrees, can now cash out a portion of their leave – subject to some conditions.

“Employer parties fought hard to secure sensible changes,” Australian Chamber of Commerce and Industry Director of Workplace Relations Richard Clancy said.

“This involved a significant investment of time and resources by ACCI and our members. We welcome the Fair Work Commission’s willingness to consider our evidence. However there is still a lack of flexibility in the modern award system that needs to be addressed.”

Mr Clancy said the ACCI would now be moving their attention to “the next phase of the four-yearly review of modern awards”, would pursue areas making it easier for business to hire, and would “defend against claims” providing small businesses with more costs and regulatory obligations.

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