Friday, 22 May 2020

Australian casual employees regularly working full-time hours win paid leave, carer & compassionate leave in Federal Court ruling - Morrison Government threatens to change law to strip new rights away



"All members of the Court have also found that Mr Rossato was not a casual FTM under the 2012 EA, noting that the circumstances of his employment could not be distinguished in a material way from those of Skene. All members of the Court have found that WorkPac is not entitled to restitution of the casual loading which it claimed was included in the hourly rate it had paid to Mr Rossato. The members of the Court have found that there was no relevant mistake, and no failure of consideration such as would support restitutionary relief. All members of the Court have found that WorkPac is not entitled to bring into account the payments of remuneration that it had made to Mr Rossato on the basis that he was a casual employee. That is because the purposes of the payments of remuneration did not have a close correlation to the entitlements that Mr Rossato seeks. All members of the Court have found that WorkPac’s reliance on reg 2.03A of the Fair Work Regulations 2009 (Cth) was misplaced. By subregulation (d), the regulation can apply only when the person makes a claim to be paid an amount in lieu of one or more of the relevant NES entitlements. That is not this case as Mr Rossato seeks payment of the NES entitlements, not payments in lieu." [Workpac v Rossato, May 2020]


Yahoo! Finance, 21 May 2020:

Casual employees working full-time hours will be entitled to paid leave, setting back employers around $8 billion in back-pay claims, after a landmark ruling by the Federal Court on Wednesday.

The decision means regular, ongoing casuals will be able to access paid annual leave, paid personal/carer’s leave and paid compassionate leave, and employers cannot claim that 25 per cent pay loadings offset those entitlements.

The ruling in Workpac v Rossato has effectively pulled the pin on the ‘permanent casual’ work model, and means any regular work that is permanent in nature is not genuinely casual, and therefore attracts the same entitlements as permanent staff.

This is a fantastic decision that puts an end to the ‘permanent casual’ rort that has become a scourge in the coal mining industry and across the workforce,” the Construction, Forestry, Maritime, Mining and Energy Union national president Tony Maher said.

It’s a decision that passes the pub test on what it means to be a casual and is consistent with community expectations that casual work is irregular and intermittent.”

Maher called on employers to “stop the nonsense”, and start treating casual employees on permanent hours as if they were permanent.

When a job is full-time, regular and on-going, it is permanent and deserves the security and entitlements that come with permanent work,” Maher said.

Our union has worked hard to clarify the law with this decision and we will now be fighting to restore rights and lost pay for casual labour hire workers across the coal mining industry who have been illegally ripped off.”…….

Industrial relations minister Christian Porter said the decision would have “immediate practical implications for the bottom line of many Australians businesses at a time when so many have taken a huge hit from the Covid-19 pandemic”.

In fact, employers estimate between 1.6 and 2.2 million casuals will be affected, with a back-pay bill of around $8 billion looming.

Porter also flagged a potential appeal….

"Given the potential for this decision to further weaken the economy at a time when so many Australians have lost their jobs, it may also be necessary to consider legislative options."


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