AP811245 - Timber Industry – CFMEU Wood Panels – Award 2000
Redundancy occurs when an employer decides that the employer no longer wishes the job the employee has been doing to be done by anyone and this is not due to the ordinary and customary turnover of labour.
18.2 Transfer to lower paid duties
Where an employee is transferred to lower paid duties by reason of redundancy the same period of notice must be given as the employee would have been entitled to if the employment had been terminated and the employer may at the employer’s option, make payment in lieu thereof of an amount equal to the difference between the former ordinary rate of pay and the new ordinary time rate for the number of weeks of notice still owing.
18.3.1 In addition to the period of notice prescribed for ordinary termination in clause 17.1 of this award an employee whose employment is terminated for reasons set out in 18.1 hereof shall be entitled to the following amount of severance pay in respect of a continuous period of service:
Period of continuous service |
Severance pay |
Up to 1 year |
Nil |
More than 1 year and up to the completion of 2 years |
At least 4 weeks’ pay |
More than 2 years and up to the completion of 3 years |
At least 6 weeks’ pay |
More than 3 years and up to the completion of 4 years |
At least 7 weeks’ pay |
More than 4 years |
At least 8 weeks’ pay |
18.3.2 Weeks’ pay means the ordinary time rate of pay for the employee concerned.
18.3.3 Provided that the severance payments shall not exceed the amount which the employee would have earned if employment with the employer had proceeded to the employee’s normal retirement date.
18.4 Employee leaving during notice
An employee whose employment is terminated for reasons set out in 18.1 hereof may terminate the employment during the period of notice and, if so, shall be entitled to the same benefits and payments under this clause had the employee remained with the employer until the expiry of such notice. Provided that in such circumstances the employee shall not be entitled to payment in lieu of notice.
An employer, in a particular redundancy case, may within eight weeks of the date of termination, make application to the Commission to have the general severance pay prescription varied if the employer obtains acceptable alternative employment for an employee.
18.6 Time off during notice period
18.6.1 During the period of notice of termination given by the employer, an employee shall be allowed up to one day’s time off without loss of pay during each week of notice for the purpose of seeking other employment.
18.6.2 If the employee has been allowed paid leave for more than one day during the notice period for the purpose of seeking other employment, the employee shall, at the request of the employer, be required to produce proof of attendance at an interview or the employee shall not receive payment for the time absent. For this purpose a statutory declaration will be sufficient.
Award Superannuation benefits payable upon termination shall not be used in lieu of any severance payment made in accordance with this clause. Any non-award Superannuation benefit payable upon termination shall not be used in lieu of any severance payment made in accordance with this clause, other than by further order of the Commission.
18.8.1 This clause shall not apply where employment is terminated as a consequence of conduct that justifies instant dismissal including inefficiency within the first fourteen days, neglect of duty or misconduct, and in the case of casual employees, piecework employees, apprentices or employees engaged for a specific period of time or for a specific task or tasks.
18.8.2 Notwithstanding the foregoing provisions trainees who are engaged for a specific period of time shall, once the traineeship is completed and provided that the trainee services are retained, have all service including the training period counted in determining entitlements. In the event that a trainee is terminated at the end of the traineeship and is re-engaged by the same employer within six months of such termination the period of traineeship shall be counted as service in determining any future redundancy entitlements.
An employer, in a particular redundancy case may, within eight weeks of the date of termination, make application to the Commission to have the general severance pay prescription varied on the basis of the employer’s incapacity to pay.
18.10 Transmission of business
18.10.1 Where a business is before or after the date of this award, transmitted from an employer (in this clause called the transmittor) to another employer (in this clause called the transmittee) and an employee who at the time of such transmission was an employee of the transmittor in that business becomes an employee of the transmittee:
18.10.1(a) the continuity of the employment of the employee shall be deemed not to have been broken by reason of such transmission; and
18.10.1(b) the period of employment which the employee has had with the transmittor or any prior transmittor shall be deemed to be service of the employee with the transmittee.
18.10.2 In this clause business includes trade, process, business or occupation and includes part of any such business and transmission includes transfer, conveyance, assignment or succession whether by agreement or by operation of law and transmitted has a corresponding meaning.