The Illusive Pay Slip

Currently, the Association is holding joint seminars with the Australian Tax Office around Victoria. I've been allocated the job of speaker for the Association's part (which is for about 10 or 15 minutes out of two hours).

The administration aspect has been somewhat difficult and little frantic. The flyer which was sent around omitted some key information (such as the fact that the seminar is 2 hours long). Despite that, I have been learning a lot as far as the project has gone and it is turning out to be a worthwhile experience.

My part is on the affect that WorkChoices has had on paperwork and record keeping. There is a whole chapter on record keeping obligations for the employers in the regulations - mostly it sets out what needs to be kept on record in relation to employees (such as all their details, their payments, leave taken, etc).

The other major aspect regarding paperwork that employers must keep payslips. It is not common information that payslips are compulsory. Not only that, it is important that payslips contain the correct information in the correct way because there are penalties associated with non-compliance. Furthermore, if payslips do not set out separately the base rate paid, allowances paid and the deductions made, it can cause problems in the event of a wage claim by an unhappy employee.

Payslips must advise payment details such as superannuation payments, tax deductions, union dues, etc. In the building and construction industry, usually there are allowances (tool, industry, special, and travel) payable under the Award. If there is only one 'base-rate' on the payslip, there is no way to show that this is NOT an above-Award payment.

Consequently, because an employer is not allowed to set-off over-award payments against outstanding entitlements (Poletti v Ecob; Logan v Otis Elevator Co Pty Ltd) the employer will be liable for "unpaid" allowances.

It is important that payslips are issued and that they contain the correct information.

I get to cover this briefly over the next week. That is, provided I do not run into any further problems on the long drives.