AN160238 – Paint and Varnish Makers' Award No. 22 of 1957

24. - PAYMENT OF WAGES - 38 HOUR WEEK

(1) Each worker shall be paid the appropriate rate shown in Clause 22. - Rates of Pay of this award. Subject to subclause (2) of this clause payment shall be pro rata where less than the full week is worked.

(2) From the date that a 38 hour week system is implemented by a worker wages shall be paid as follows:

(a) Actual 38 ordinary hours

In the case of a worker whose ordinary hours of work are arranged in accordance with paragraph (a) or (b) of subclause (1) of Section B - Implementation of 38 Hour Week of Clause 4. - Hours of Work so that he works 38 ordinary hours each week, wages shall be paid weekly or fortnightly according to the actual ordinary hours worked each week or fortnight.

(b) Average of 38 ordinary hours

Subject to subclauses (3) and (4) hereof, in the case of a worker whose ordinary hours of work are arranged in accordance with paragraphs (c) or (d) of subclause (1) of Section B - Implementation of 38 Hour Week of Clause 4. - Hours of Work so that he works an average of 38 ordinary hours each week during a particular work cycle, wages shall be paid weekly or fortnightly according to a weekly average of ordinary hours worked even though more or less than 38 ordinary hours may be worked in any particular week of the work cycle.

SPECIAL NOTE - EXPLANATION OF AVERAGING SYSTEM

As provided in paragraph (b) of this subclause a worker whose ordinary hours may be more or less than 38 in any particular week of a work cycle, is to be paid his wages on the basis of an average of 38 ordinary hours so as to avoid fluctuating wage payments each week. An explanation of the averaging system of paying wages is set out below:

(i) Section B - Implementation of 38 Hour Week in Clause 4. - Hours of Work in subclause (1) paragraphs (c) and (d) provides that in implementing a 38 hour week the ordinary hours of a worker may be arranged so that he is entitled to a day off, on a fixed day or rostered day basis, during each work cycle. It is in these circumstances that the averaging system would apply.

(ii) If the 38 hour week is to be implemented so as to give a worker a day off in each work cycle this would be achieved if, during a work cycle of 28 consecutive days (that is, over four consecutive weeks) the worker's ordinary hours were arranged on the basis that for three of the four weeks he worked 40 ordinary hours each week and in the fourth week he worked 32 ordinary hours. That is, he would work for 8 ordinary hours each day, Monday to Friday inclusive for three weeks and 8 ordinary hours on four days only in the fourth week - a total of 19 days during the work cycle.

(iii) In such a case the averaging system applies and the weekly wage rates for ordinary hours of work applicable to the employee shall be the average weekly wage rates set out for the employee's classification in Clause 22. - Rates of Pay of this award and shall be paid each week even though more or less than 38 ordinary hours are worked that week.

In effect, under the averaging system, the employee accrues a 'credit' each day he works actual ordinary hours in excess of the daily average which would otherwise be 7 hours 36 minutes. This 'credit' is carried forward so that in the week of the cycle that he works on only four days, his actual pay would be for an average of 38 ordinary hours even though, that week, he works a total of 32 ordinary hours.

Consequently, for each day an employee works eight ordinary hours he accrues a 'credit' of 24 minutes (0.4 hours).

The maximum 'credit' the employee may accrue under this system is 0.4 hours on 19 days; that is, a total of seven hours and 36 minutes.

(iv) As provided in subclause (3) of this clause, an employee will not accrue a 'credit' for each day he is absent from duty other than on annual leave, long service leave, holidays prescribed under this award, paid sick leave, workers' compensation or bereavement leave.

(3) Absences from Duty

(a) An employee whose ordinary hours are arranged in accordance with paragraph (c) or (d) of Section B - Implementation of 38 Hour Week of Clause 4. - Hours of Work and who is paid wages in accordance with paragraph (a) of subclause (2) hereof and is absent from duty (other than on annual leave, long service leave, holidays prescribed under this award, paid sick leave, workers' compensation or bereavement leave) shall, for each day he is so absent, lose average pay for that day calculated by dividing his average weekly wage rate by five.

An employee who is so absent from duty for part of a day shall lose average pay for each hour he is absent by dividing his average daily pay rate by eight.

(b) Provided when such an employee is absent from duty for a whole day he will not accrue a 'credit' because he would not have worked ordinary hours that day in excess of 7 hours 36 minutes for which he would otherwise have been paid. Consequently, during the week of the work cycle he is to work less than 38 ordinary hours he will not be entitled to average pay for that week. In that week, the average pay will be reduced by the amount of the 'credit' he does not accrue for each whole day during the work cycle he is absent.

The amount by which an employee's average weekly pay will be reduced when he is absent from duty (other than on annual leave, long service leave, holidays prescribed under this award, paid sick leave, workers' compensation or bereavement leave) is to be calculated as follows:

Total of "credits" not accrued during cycle	x	average weekly pay
		38

Examples:

(An employee's ordinary hours are arranged so that he works 8 ordinary hours on five days of each week for 3 weeks and 8 ordinary hours on four days of the fourth week).

1. Employee takes one day off without authorisation in first week of cycle.

Week of Cycle		Payment
1st week	=	average weekly pay less one day's pay (ie. 1/5th)
2nd and 3 rd weeks	=	average weekly pay each week
4th week	=	average pay less credit not accrued on day of absence
Week of Cycle		Payment
	=	average pay less 0.4 hours x	average weekly pay
			38

2. Employee takes each of the 4 days off without authorisation in the 4th week.

Week of Cycle		Payment
1st, 2nd and 3rd weeks	=	average pay each week
4th week	=	average pay less 4/5ths of average pay for the four days absent less total of credits not accrued that week
	=	1/5th average pay less 4 x 0.4 hours x	average weekly pay
			38
	=	1/5th average pay less 1.6 hours x	average weekly pay
			38

(4) Alternative Method of Payment

An alternative method of paying wages to that prescribed by subclauses (2) and (3) of this clause may be agreed between the employer and the majority of the employees concerned.

(5) Day Off Coinciding with Pay Day

In the event that an employee, by virtue of the arrangement of his ordinary working hours, is to take a day off duty on a day which coincides with pay day, such employee shall be paid no later than the working day immediately following pay day. Provided that, where the employer is able to make suitable arrangements, wages may be paid on the working day preceding pay day.

(6) Method of Payment

(a) The employee may be paid his/her wages by cheque or into his/her bank account.

(b) Where the employer is paying wages into accounts of persons employed pursuant to this award spread across four or more financial institutions then the employer through discussion with the employees concerned may limit the number of financial institutions involved to a maximum of two or three.

(7) Termination of Employment

An employee who lawfully leaves his employment or is dismissed for reasons other than misconduct shall be paid all moneys due to him at the termination of his service with the employer.

Provided that in the case of an employee whose ordinary hours are arranged in accordance with paragraph (c) or (d) of subclause (1) of Section B - Implementation of 38 Hour Week and who is paid average pay and who has not taken the day off due to him during the work cycle in which his employment is terminated, the wages due to that employee shall include a total of credits accrued during the work cycle as detailed in the Special Note following paragraph (b) of subclause (2) of this clause.

Provided further, where the employee has taken a day off during the work cycle in which his employment is terminated, the wages due to that employee shall be reduced by the total of credits which have not accrued during the work cycle.

(8) Details of Payments to be Given

Where an employee requests his employer to state in writing with respect to each week's wages the amount of wages to which he is entitled, the amount of deductions made therefrom, the net amount being paid to him, and the number of hours worked, the employer shall do so not less than two hours before the employee is paid.

(9) Calculation of Hourly Rate

Except as provided in subclause (3) of this clause the ordinary rate per hour shall be calculated by dividing the appropriate weekly rate by 38.

(10) No deduction shall be made from an employee's wages unless the employee has authorised such deduction in writing.