AP802001CRV - Victorian Independent Schools - Teachers - Award 1998

20. REMUNERATION PACKAGING

20.1 Application

This clause will apply to employers wishing to facilitate the provision of salary and benefit packages to teachers whose employment is covered by this award.

20.2 Definitions

For the purpose of this clause:

Benefits means the benefits nominated by the teacher from the benefits provided by the employer;

Benefit Value means the amount specified by the employer as the cost to the employer of the Benefit provided including Fringe Benefits Tax, if any;

Fringe Benefits Tax means tax imposed by the Fringe Benefits Tax Act 1986 (Cth).

20.3 Conditions of employment

Except as provided by this clause, a teacher must be employed at a salary based on a rate of pay, and otherwise on terms and conditions not less than those prescribed by this award.

20.4 Remuneration packaging

The employer may offer to provide and the teacher may agree in writing to accept:

• the Benefits nominated by the teacher; and
• a salary equal to the difference between the Benefit Value and the salary which would have applied to the teacher under 20.3 in the absence of an agreement under this subclause.

20.5 Benefits

The Benefits will be those made available by the employer.

20.6 Notification of Benefit Value

The employer must advise the teacher in writing of the Benefit Value before the teacher and the employer enter into an agreement pursuant to 20.4.

20.7 Calculation of salary during leave

During the currency of an agreement under 20.4:

• a teacher who takes leave on full pay will receive the Benefits and salary referred to in 20.4 of this clause;
• a teacher who takes leave without pay is not entitled to any Benefits during the period of leave;
• a teacher who takes leave on less than full pay will receive:
• the Benefits; and
• an amount of salary calculated by applying the formula:

A = S x P% - [(100% - P%) x B]

where:

S = the salary determined under 20.4

P = the percentage of salary payable during the leave

B = the Benefit Value

A = the amount of salary

20.8 Other payments

Any other payment under this award, calculated by reference to the teacher’s salary, however described, and payable:

• during employment; or
• on termination of employment in respect of untaken paid leave; or
• on death,

will be at the rate of pay which would have applied to the teacher under 20.3 of this clause, in the absence of an agreement under 20.4 of this clause.