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AP798297 - South Australian Government Departments and Instrumentalities (Metal Trades) Award 1999

24. PAYMENT OF WAGES

24.1 Period of payment

Wages will be paid weekly or fortnightly, either:

24.2 Method of payment

24.2.1 Explanation of the averaging system

24.2.1(a) As provided in this subclause an employee whose ordinary hours may be more or less than 38 in any particular week of a work cycle, is to be paid their wages on the basis of an average of 38 ordinary hours so as to avoid fluctuating wage payments each week.

24.2.1(b) The ordinary hours of an employee may be arranged so that they are 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.

24.2.1(c) If the 38 hour week is to be implemented so as to give an employee 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 employee's ordinary hours were arranged on the basis that for three of the four weeks the employee worked 40 ordinary hours each week and in the fourth week the employ worked 32 ordinary hours. That is, they would work for eight ordinary hours each day, Monday to Friday inclusive for three weeks and eight ordinary hours on four week days only in the fourth week - a total of nineteen days during the work cycle.

24.2.1(d) In such a case the averaging system applies and the weekly wage rates for ordinary hours of work applicable to the employee will be the average weekly wage rates set out for the employee's classification in Schedule B of this Part of this award, and will be paid each week even though more or less than 38 hours are worked that week.

24.2.1(e) In effect, under the averaging system the employee accrues a "credit" each day they work actual ordinary hours in excess of the daily average, which would otherwise be seven hours and 36 minutes. This "credit" is carried forward so that in the week of the cycle that they work on only four days, their actual pay would be for an average of 38 ordinary hours even though, that week, they work a total of 32 ordinary hours.

24.2.1(f) Consequently, for each day an employee works eight ordinary hours the employee accrues a "credit" of 24 minutes (0.4 hours). The maximum "credit" the employee may accrue under this system is 0.4 hours on nineteen days; that is, a total of seven hours and 36 minutes.

24.2.1(g) As provided in 24.2.1(d), 24.2.1(e) and 24.2.1(f), an employee will not accrue a "credit" for each day the employee is absent from duty other than on annual leave, long service leave, public holiday, paid sick leave, workers' compensation, bereavement leave or jury service. When an employee is absent from duty because of annual leave, long service leave, public holidays, paid sick leave, workers' compensation, bereavement leave or jury service, their entitlement is determined in accordance with the appropriate award provision dealing with such entitlements.

24.3 Payment of wages on termination of employment

On termination of employment, wages due to an employee will be paid on the day of termination or forwarded to the employee by post on the next working day.

24.4 Absences from duty under an averaging system

Where an employee's ordinary hours in a week are greater or less than 38 hours and such employee's pay is averaged to avoid fluctuating wage payments, the following will apply:

24.4.1 An employee absent from duty in circumstances other than annual leave, long service leave, public holidays, paid sick leave, workers’ compensation, bereavement leave, paid carer’s leave, paid training leave or jury service will, for each day so absent, lose average pay for that day calculated by dividing their average weekly wage rate by five.

24.4.2 An employee absent for part of a day (other than on annual leave, long service leave, public holidays, paid sick leave, workers' compensation, paid bereavement leave, paid carers' leave, paid training leave in accordance with this clause or jury service will lose average pay for each hour or part thereof they are absent at an hourly rate calculated by dividing the employee’s average daily pay rate by 7-6/10.

24.4.3 Credits do not accrue when an employee is absent from duty for a whole day in accordance with this subclause because the employee would not have worked ordinary hours that day in excess of seven hours and 36 minutes. Whenever this occurs, the employee will not be entitled to average pay for that week but will be reduced by the amount of the “credit” not accrued for each whole day during the work cycle involving the absence.

24.5 Alternative methods of payment

24.5.1 An employee who prior to 5 July 1982 was working less than 40 hours each week and who was paid by a method different from that provided for in 24.2, may continue to be paid by such method.

24.5.2 Where the employer and the majority of the employees concerned agree in accordance with 11.4, an alternative method of paying wages to that provided in 24.2 may be introduced.

24.6 Calculation of hourly rate

The hourly rates will be calculated by dividing the appropriate weekly rate by 38.

24.7 Payment by electronic funds transfer

All employees will be paid their wages by direct transfer into an employee's bank or other recognised financial institution account. Provided, that where employees are resident in isolated localities such employees may have their wages paid by cheque.

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