|FAIR WORK COMMISSION|
Fair Work Act 2009
s.156 – 4 yearly review of modern awards
4 yearly review of modern awards – Payment of wages
BANKING, FINANCE AND INSURANCE AWARD 2010
Banking finance and insurance industry
JUSTICE ROSS, PRESIDENT
MELBOURNE, 16 OCTOBER 2018
4 yearly review of modern awards – payment of wages common issue – payments on termination model term – Banking, Finance and Insurance Award 2010.
A. Further to the Full Bench decision issued by the Fair Work Commission on 15 August 2018 [ FWCFB 4735], 1 the above award is varied as follows:
1. By inserting clause 20.3 as follows:
20.3 Payment on termination of employment
(a) The employer must pay an employee no later than 7 days after the day on which the employee’s employment terminates:
(i) the employee’s wages under this award for any complete or incomplete pay period up to the end of the day of termination; and
(ii) all other amounts that are due to the employee under this award and the NES.
(b) The requirement to pay wages and other amounts under paragraph (a) is subject to further order of the Commission and the employer making deductions authorised by this award or the Act.
Note 1: Section 117(2) of the Act provides that an employer must not terminate an employee’s employment unless the employer has given the employee the required minimum period of notice or “has paid” to the employee payment instead of giving notice.
Note 2: Paragraph (b) allows the Commission to make an order delaying the requirement to make a payment under this clause. For example, the Commission could make an order delaying the requirement to pay redundancy pay if an employer makes an application under s.120 of the Act for the Commission to reduce the amount of redundancy pay an employee is entitled to under the NES.
Note 3: State and Territory long service leave laws or long service leave entitlements under s.113 of the Act, may require an employer to pay an employee for accrued long service leave on the day on which the employee’s employment terminates or shortly after.
2. By updating the table of contents and cross-references accordingly.
B. This determination comes into operation from 1 November 2018. In accordance with s.165(3) of the Fair Work Act 2009 this determination does not take effect until the start of the first full pay period that starts on or after 1 November 2018.
1 See also decision issued on 17 July 2018,  FWCFB 3566
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