Transitional Arrangements

Transitional Arrangements

While the General Retail Industry Award came into force on 1 January 2010 the Australian Industrial Relations Commission (AIRC) has allowed for transitional arrangements to assist affected employers and employees to move to the modern award system. As a result of the transitional arrangements rates of pay and certain other conditions do not come into effect until 1 July 2010. Under the transitional arrangements, any increase or decrease in wages, loadings and penalty rates will be phased in from 1 July 2010. This includes:

• minimum wages
• casual and part time loadings
• Saturday, Sunday and public holiday penalty rates
• evening and other penalty rates
• shift allowances.

Increases or decreases in pay rates, loadings, penalty rates and allowances will be phased in over five annual installments starting 1 July 2010 until 1 July 2014 (i.e. in 20 per cent installments each year). Employers will also need to take into consideration the annual minimum wage decisions of Fair Work Australia which will apply from 1 July each year. All employers are advised to consult their relevant modern award for specific transitional arrangements.