Friday, January 21, 2011

The floods - employment issues

The floods ravaging large parts of Victoria have caused members to raise a number of questions on employment issues, such as what to pay staff and issues of employees unable to attend work.

The ADA HR service advises that under the s.524 Fair Work Act 2009 an employer can stand down an employee without pay if they can’t usefully be employed during a period because of any stoppage of work for which the employer cannot reasonably be held responsible, such as a natural disaster.

The provisions of the Fair Work Act only apply where the employee’s industrial instrument (award) or contract of employment does not contain a stand down provision for unexpected emergencies, like natural disasters.

For example, the Health Professionals and Support Services Award 2010 contains no provisions in relation to stand down of employees. In such circumstances the employee can take unpaid or paid annual leave - if the requirement is reasonable.

Under the National Employment Standards (NES) in the Fair Work Act 2009 employees are entitled to take personal carers leave in order to provide care or support to an immediate family member or a member of the household, who requires care or support because of an unexpected emergency, which may include times of natural disaster e.g. schools are closed down due to floods or parents need to provide care for their immediate family injured as a result of floods.

In the situation where an employee cannot attend work due to road closure and flooding the employer may decide to approve leave, whether being paid or unpaid leave. However before approving leave the employer will need to check the relevant industrial instrument to ensure it contains provisions about leave for non attendance due to floods and natural disasters. Under the Health Professionals and Support Services Award 2010, there are no provisions in relation to non attendance due to a natural disaster.

This should not be necessarily confused with the ability of a dental practice to have a temporary ‘close-down’ (as per clause 31.4 of the Health Professionals and Support Services Award 2010) in the year in order to take annual leave, and to direct staff to do the same.

The NES also provides an entitlement for employees to be absent from employment for engaging in an eligible community service activity which includes voluntary emergency management activities – this includes natural disaster (e.g. State Emergency Services or the Country Fire Authority). However the NES does not provide for employees to be paid while on eligible emergency service leave.

Under the Fair Work Act 2009, s.772(1)(h), employees cannot be dismissed for taking emergency service leave in these circumstances. The question of whether employees are paid for leave they take as emergency service leave differs from State-to-State. To determine if payment is required, employers should consult the relevant State laws or call the HR Advisory Service – phone 1300 232 462, fax: 02 8448 3299, email: hrhotline@ada.org.au

For information relating to enquiries for flood relief assistance, go to http://www.disasterassist.gov.au/