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Manufacturing and Associated Industries and Occupations Award Summary [MA000010]

Published

Manufacturing and Associated Industries and Occupations Award Summary [MA000010]

Published

Weโ€™ve sorted through every clause, rate and rule to give you a straightforward breakdown of your responsibilities as an employer.

Whether you’re running a workshop, a factory or a repair service, this guide will help you navigate everything from pay rates and allowances to work hours and overtime. You can read the full guide right here, or download a copy to have ready whenever you need it.

Who does this Award cover?

The Manufacturing and Associated Industries and Occupations Award is both an โ€œindustryโ€ and anโ€œoccupationalโ€ award. This means it covers employers and their employees who are in manufacturing or associated industries, but also that it covers employees working in one of the occupations listed in the Award, even if they are working in another industry.

The Award has a broad reach and doesnโ€™t just cover the manufacture of items, but also covers businesses who carry out activities such as carrying out repairs or installations.
The Award sets out an extensive definition of โ€œManufacturing and Associated Industries and Occupationsโ€ which can be found in clause 4.

As a general rule of thumb, determining coverage under this Award primarily requires consideration of the type of work the business does (e.g. manufacturing or repair work, etc) and the product they work with (e.g. wood, metal, etc.).

So long as both the activity of the employer and the material they work with is listed in the Award, they will be caught by the industry coverage of the Award. The Award also has a list of occupations that it covers, even if such persons are not working in the manufacturing or an associated industry, these are:

  • maintenance employees in the engineering stream of the Award
  • technical workers
  • draughtspersons
  • production planners
  • trainee engineers*
  • trainee scientists*
  • engine drivers

*Qualified engineers and scientists would most likely be covered by the Professional Employees Award 2020.

The Award provides two streams of coverage โ€“ non-vehicle manufacturing employees (Schedule A) and vehicle manufacturing employees (Schedule B).

Special rules for vehicle manufacturing employees

The Award contains a number of special rules for employers and employees in the vehicle manufacturing industry, which covers:

โ€œmanufacturing, assembling or repairing of carriages, carts, wagons, trucks, motor cars, bodies, motorcycles, railway cars, tram cars, side-cars or other vehicles or parts or components or accessories in wood, metal and/or other materials; and

ยทmanufacturing, assembling, fabricating, installing, servicing, maintaining, reconditioning or repairing of engines or vehicle servicing equipment and agricultural machinery or implements or the likeโ€.

We explain a number of these special rules as we go through the guide, but also have a section at the end specifically on rules in the vehicle manufacturing industry.

Types of employees

Employees under the Award can be employed in one of the following categories:

  • Full-time;
  • Part-time; or
  • Casual.

Full-time employment

An employee not specifically engaged as casual or part-time is classed as a full-time employee.

Part-time employment

A part-time employee is engaged to work on a regular pattern of hours which average less than 38 ordinary hours per week.

A minimum engagement period of at least four consecutive hours per shift applies to part-time employees. This can be reduced to three hours with written agreement between the employee and employer. Before commencing work, there must be written agreement between the employer and employee setting out:

  • The hours to be worked by the employee;
  • The days on which they will work;
  • The start and finish times;
  • The classification level that applies to the work to be performed.

The terms of the agreement can be varied with written agreement.

Casual employment

A casual employee must be paid the applicable ordinary hourly rate, plus a 25% casual loading. These two figures combine to create a โ€œcasual ordinary hourly rateโ€.

This combined rate, (not the ordinary hourly rate without the loading), is used for the purpose of calculating penalty rates, overtime rates and shift loadings.

For casual vehicle manufacturing employees working in a technical field only (see definition of โ€œtechnical fieldโ€ in clause 2 of the Award) the employer and employee can agree in writing that instead of a 25% casual loading, a 17.5% casual loading will be paid instead. In this case the employees will be entitled to paid annual leave and paid annual leave loading on a pro rata basis based on hours worked (see clause 48 of the Award).

A minimum engagement period of at least four consecutive hours per shift applies to casual employees. This can be reduced to no less than three hours upon the employeeโ€™s request, and with written agreement between the employee and employer.

Before commencing work, the employer must advise the casual employee the following in writing:

  • The employee is engaged on a casual basis;
  • The name of the employer;
  • Their classification level and rate of pay.

In certain circumstances, casual employees are entitled to elect to convert to permanent employment after 6 months employment (employers with 15 or more employees) or after 12 months employment (employers with fewer than 15 employees). See our guidance here.

Individual flexibility arrangements

An employer and employee can enter into individual flexibility arrangements. The purpose of these arrangements is to allow employers and employees to agree on variations to certain award terms, including work arrangements, overtime rates, penalty rates, allowances, and annual leave loading, to meet the needs of both parties.

To ensure the agreement is made genuinely and without coercion or duress, the employer must provide a written proposal to the employee and take reasonable steps to ensure that the employee understands the proposal. For example, If the employer knows, or should reasonably know, that the employee may not understand written English well, they must take reasonable steps (such as providing a translation) to help the employee understand the proposal.

The agreement must be in writing and include the following:

  • The names of the employer and employee;
  • Which part(s) of the Award are being varied;
  • How each part is being changed;
  • How the employee is better off overall because of the agreement; and
  • The date the agreement will start.

The agreement must be signed by both the employer and employee, and kept as a time and wages record. If the employee is under 18, their parent or guardian must also sign the agreement.

The agreement must result in the employee being better off overall than if the agreement was not entered into, at the time the agreement is made.

An agreement may be terminated by written agreement between the employer and employee, or by giving 13 weeksโ€™ written notice to the other party.

If the agreement does not meet the requirements for individual flexibility arrangements set out in section 144 of the Fair Work Act 2009, either party may terminate it by giving written notice of not more than 28 days.

Facilitative provisions

In addition to individual flexibility arrangements the Award also contains a number of โ€œfacilitative provisionsโ€. Facilitative provisions allow flexibility in how certain award terms are applied in the workplace.

These provisions permit employers and employees to agree on variations to standard award conditions, provided the agreement is fair and does not undermine the awardโ€™s intent.

There are three types of facilitative provisions:

  • Individual agreement: some conditions (like varying part time hours, make up time, or taking annual leave in advance) can be adjusted through mutual agreement between an employer and an individual employee. These agreements must be recorded as part of the employerโ€™s time and wages records.
  • Individual or majority agreement: other provisions (e.g. varying ordinary hours or payment of wages) can be changed either by agreement with the majority of employees or by individual agreement.
  • Majority agreement only: some provisions (such as 12 hour shifts or changes to shiftworker hours) can only be used if agreed to by the majority of employees. In certain cases, relevant unions must also be notified and given a chance to participate in discussions, though their approval isnโ€™t required.

Importantly, any vote to implement a facilitative provision must be taken with the employerโ€™s agreement to be valid.

Where a provision of the Award can be altered through a facilitative provision this is listed in clause 7 of the Award.

Requests for flexible working arrangements

The Award reminds employees of their rights under the National Employment Standards in the Fair Work Act, to make flexible working requests. For more information on your obligations when dealing with such a request, please see our guide.

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Hours of work

Ordinary hours of work and rostering

The Award has different rules for โ€œday workersโ€ (i.e. those workers who work regular daytime shifts), and shiftworkers (i.e. those workers who work at night or other unsociable times).

We set out the basic rules concerning ordinary hours below, however clause 17.5 of the Award provides various ways in which these rules can be altered by agreement. The Award also has rules about working a shift which spans the start or finish of a period of daylight saving (clause 17.6) and make up time (clause 17.7).

Day workers

The ordinary hours for a full-time employee are an average of 38 hours per week but must not exceed 152 hours in 28 days.

Ordinary hours of work cannot exceed eight hours per day, unless there is an agreement between the employer and the majority of employees (or between the employee and an individual employee) that the number of ordinary hours can exceed this number – see clause 17.5(b)(viii).

An employer can also reach an agreement with the majority of its employees (or with an individual employee) to set ordinary hours of work at 12 hours per day. Where such an agreement is in place, the employer must ensure there is proper health monitoring and supervision, adequate breaks, and a review process – see clause 17.5(c).

Ordinary hours can be worked on any day Monday to Friday. They can also be worked on Saturday and Sunday, provided the employer has reached an agreement with the majority of employees (or with an individual employee) to this effect (penalty rates will then apply, see further below).

The span of hours between which ordinary hours must be worked are Monday to Friday – 6.00am and 6.00pm โ€“ but this can be moved forwards or backwards up to one hour by agreement between the employer and individual employees (or the majority of employees).

Hours worked outside of ordinary hours are paid as overtime (see further details below).

Continuous shiftworkers

Continuous shiftwork is defined as work that is constantly performed in shifts throughout 24 hours a day, over at least six consecutive days.

The provisions relating to continuous shiftwork at clause 17.3 of the Award do not apply to vehicle manufacturing employees, who instead are dealt with in Part 9 of the Award.

The ordinary hours for continuous shiftworkers must:

  • Not exceed eight hours per shift unless otherwise agreed under clause 17.5;
  • Be an average of 38 hours per week, but cannot exceed 152 hours (including meal breaks, which are counted as time worked) in 28 consecutive days;

However, by agreement with the majority of employees, averaging can be done over a period of up to 12 months.

Employees doing continuous shiftwork cannot be required to work more than one shift in a 24 hour period, except at the regular changeover of shifts.

Non-continuous shiftworkers

The ordinary hours arrangements for non-continuous shift workers are the same as those of continuous shiftworkers, except that meal breaks are not counted as time worked for non-continuous shiftworkers.

The provisions relating to non-continuous shiftwork at clause 17.4 of the Award do not apply to vehicle manufacturing employees, who instead are dealt with in Part 9 of the Award.

Breaks

Meal breaks

Employees must not be required to work for more than five hours without an unpaid meal break of at least 20 minutes, but there are circumstances (e.g. impracticality or by agreement with an individual employee or with the majority of employees) which allow the employer to extend this five hour period by another hour.

For continuous shiftworkers (except for vehicle manufacturing employees), the 20-minute meal break is paid time.

For vehicle manufacturing employees working in a technical field, different break rules apply, i.e.:

  • The meal break must not be less than 30 minutes or more than one hour;
  • For day workers, the break must be taken between 11.30am and 2.00pm, as agreed between the employer and the majority of employees.

Tea breaks

The rules for tea breaks are set out below.

We use the term โ€œtechnical employeesโ€ below to refer to employees engaged in a technical field of work, technical workers, tracers and draughtspersons, production planners, trainee engineers and trainee scientists – as those terms are defined in the Award.

Employee TypeTea Break Entitlement
Technical employees (not working in vehicle manufacturing)1 x 10 minute tea break (paid) at a time fixed by the employer.
Other non-vehicle manufacturing employeesNo entitlement to tea break.
Vehicle manufacturing employees working in the technical field1 x 10 minute tea break at a time fixed by the employer. The Award is not clear whether this should be paid or unpaid. Employees are permitted to take refreshments in the afternoon, as long as it does not interrupt work.
Other vehicle manufacturing employeesNo entitlement to tea break, but employer can choose to provide one of the following:
1 x up to 15 minute tea break (unpaid) at a time fixed by the employer OR
2 x up to 15 minute tea breaks, morning and afternoon, 1 of which must be paid for.

Working through meal breaks

If an employee is required to work through a meal break because there has been a breakdown of plant, or to undertake routine maintenance of plant which can only be done while the plant is idle, they are to be paid at the rate they were on before the break. If they are required to work through a break for any other reason, the applicable overtime and penalty rates set out in clause 18.5 apply.

Ship trials

For employees engaged on ship trials, there are special rules about breaks in clause 19 of the Award.

Breaks during overtime

There are additional entitlements to breaks when working overtime, see below.

Overtime and penalty rates

Overtime

Overtime is defined as any work done outside โ€œordinary hoursโ€. There are different definitions of โ€œordinary hoursโ€ depending on whether the employee is a day worker, continuous shiftworker, or non-continuous shiftworker.

These are set out in the โ€œordinary hoursโ€ section above (e.g. for day workers overtime will generally apply where an employee works in excess of eight ordinary hours a day and/or 38 ordinary hours per week, or outside the span of 6am to 6pm).

Overtime for a part-time employee is any work performed outside the agreed number of hours, days, and times as set out in the written agreement under clauses 10.3 and 10.4 of the Award.

An employer can only require their employees to work overtime if such overtime is reasonable. An employee can refuse to work overtime hours if they are unreasonable.

For the purpose of calculating overtime, each dayโ€™s work stands alone, meaning the daily overtime calculation โ€œresetsโ€ each day.

Where a day worker or non-continuous shiftworker works overtime, the employer is required to pay:

  • 150% of the ordinary hourly rate for each of the first three hours;
  • 200% of the ordinary hourly rate for each hour thereafter.

Different rules apply for weekend and public holiday work in some circumstances (please see below).

Where a continuous shiftworker works overtime, the employer is required to pay:

  • Vehicle manufacturing employees โ€“ 150% for each of the first three hours, and 200% for each hour thereafter;
  • Other employees โ€“ 200% for each hour of overtime worked.

Different rules apply for weekend and public holiday work in some circumstances (please see below).

For overtime worked on Saturday, Sunday and public holidays, the employer is required to pay as follows:

  • Saturday – Day workers ONLY – the same rates as above, but with a minimum engagement period of four hours, unless the overtime is continuous with overtime commenced on the previous day.
  • Sunday – All types of workers โ€“ 200% for each hour of overtime worked, and a minimum engagement period of three hours.
  • Public holidays – Day workers โ€“ 250% for each hour of overtime worked, and a minimum engagement period of three hours.
  • Continuous shiftworkers โ€“ 200% for each hour of overtime worked, and a minimum engagement period of three hours.
  • Non-continuous shift workers โ€“ 250% for each hour of overtime worked, and a minimum engagement period of three hours.

There are special rules for when a shiftworker is required to work on their rostered day off because of the absence of a relieving employee – see clause 32.3.

Time off in lieu instead of payment for overtime

Instead of paying overtime in line with the above rules, an employee can reach an agreement with their employer to take time off in lieu (โ€˜TOILโ€™) instead of payment for overtime. A number of rules apply to this arrangement.

Requirements for toil agreement

The agreement must be in writing. An example of a sample agreement appears in Schedule H of the Award.

A separate written agreement must be used each time overtime is to be taken as TOIL.

How much TOIL must be given when overtime is worked?

For most employees the TOIL arrangement is 1:1, meaning an employee banks one hour of time off for each hour of overtime worked.

For vehicle manufacturing employees, the TOIL arrangement operates differently and needs to be in line with the actual overtime rate. For example, if an employee works 1 hour of overtime, and the applicable overtime rate is 150% of the ordinary rate of pay, the employee would be entitled to 1.5 hours off.

What happens if an employee changes their mind and wants to be paid out overtime instead?

The employer must pay the employee at the applicable overtime rate. The payment must be made in the next pay period following the request.

How much time does the employee have to use their TOIL?

For most employees TOIL must be used within 6 months after the overtime is worked.

For vehicle manufacturing employees, TOIL must be taken within 4 weeks of overtime worked. This can be extended to 8 weeks if the employee wants to take up to 8 hours overtime as TOIL, and the employer agrees to this.

What happens if toil is not taken within the required time frame?

The employer must pay out the banked TOIL at the applicable overtime rate in the next pay period.

What happens if the toil is not taken before the employeeโ€™s employment ends?

The employer must pay out the TOIL at the applicable overtime rate upon the termination of the employeeโ€™s employment.

Breaks when working overtime

For employees due to work more than 1.5 hours overtime after their ordinary hours finish, a paid rest break of 20 minutes must be allowed before starting such overtime, paid at the rate that applied before the break started.

Employees must also be given a paid rest break of 20 minutes after working four hours of overtime, if work is to continue after this.

Where a day worker works overtime on a Saturday, Sunday, public holiday or on a rostered day off, the first rest break must be paid at the employeeโ€™s minimum ordinary hourly rate.

An employer and employee may agree to a variation of these arrangements.

These rules regarding breaks when working overtime do not apply to vehicle manufacturing employees, who instead have their own specific rules regarding breaks and overtime – see clause 57.2 of the Award.

Meal allowances when working overtime

A meal allowance must be paid to an employee on each occasion the employee is entitled to a paid rest break, as set out above. Except no meal allowance is payable in the following circumstances:

  • if the employee is a day worker and was notified no later than the previous day that they would be required to work overtime; or
  • if the employee is a shiftworker and was notified no later than the previous day or previous rostered shift that they would be required to work overtime; or
  • if the employee lives in the same locality as the enterprise and could reasonably return home for meals; or
  • if the employee is provided with an adequate meal by the employer.

If an employee has provided a meal or meals on the basis that they have been given notice to work overtime, but then the employee is not required to work overtime or is required to work less than the amount advised, they must be paid the prescribed meal allowance for the meal or meals which they have provided but which are surplus.

These rules do not apply to vehicle manufacturing employees, who instead have their own specific rules regarding this – see clause 57.4 of the Award.

Rest period after overtime

When overtime work is necessary it must, wherever reasonably practicable, be arranged so that an employee has at least 10 consecutive hours off duty between the work of successive working days.

An employee, other than a casual employee, who works so much overtime between the termination of their ordinary hours on one day and the commencement of their ordinary hours on the next day that the employee has not had at least 10 consecutive hours off duty between those times must be released after completion of the overtime until the employee has had 10 consecutive hours off duty without loss of pay for ordinary hours occurring during the absence.

If, on the instructions of the employer, an employee resumes or continues work without having had 10 consecutive hours off duty, the employee must be paid at 200% of the ordinary hourly rate until the employee is released from duty. The employee is then entitled to be absent until the employee has had 10 consecutive hours off duty without loss of pay for ordinary hours occurring during the absence.

However, by agreement between the employer and individual employee, the 10 rest period after overtime may be reduced to a period of no less than 8 hours.

For shiftworkers, the rest period will be as if 8 instead of 10 hours when overtime is worked:

  • for the purpose of changing shift rosters; or
  • where a shiftworker does not report for duty and a day worker or a shiftworker is required to replace the shiftworker; or
  • where a shift is worked by arrangement between the employees themselves.

This rule does not apply to vehicle manufacturing employees, who have their own specific rules regarding this – see clause 57.5 of the Award.

Call backs

The Award has rules for when an employee has left the premises and is then recalled to work overtime. The rules apply whether the employee has been notified of the need to be called back either before or after leaving the premises.

They must be paid:

(i) for a minimum of four hours at 150% of the ordinary hourly rate for the first 3 hours and 200% of the ordinary hourly rate thereafter; or

(ii) if the employee is a continuous shiftworker, at 200% of the ordinary hourly rate for the full four hours;

However, where an employee is required to regularly hold themselves in readiness for a call back they must (instead) be paid for a minimum of three hours work at the appropriate overtime rate and will also be entitled to the benefits of the โ€œstanding byโ€ clause (see below).

The Award also has rules for when an employee is called back on multiple occasions on the same day – see clause 32.13(d).

These provisions do not apply in cases where it is customary for an employee to return to the enterprise to perform a specific job outside the employeeโ€™s ordinary hours or where the overtime is continuous, subject to a meal break, with the commencement or completion of ordinary hours.

Overtime worked in as a call back is not to be regarded as overtime for the purposes of the rules concerning rest periods after overtime, when the actual time worked is less than three hours on the call back or on each call back. In other words, the entitlement to a 10 or eight hour rest break after overtime does not apply for overtime worked on a call back of less than three hours.

This entitlement does not apply to vehicle manufacturing employees, who have their own specific rules regarding this – see clause 57.6 of the Award.

Standing by

Where an employee is required regularly to hold themselves in readiness to work after ordinary hours, the employee must be paid standing by time at the employeeโ€™s ordinary hourly rate for the time they are standing by.

The Award says this is โ€œsubject to any custom prevailing at an enterpriseโ€.

Transport of employees

When an employee, after having worked overtime or a shift for which they have not been regularly rostered, finishes work at a time when reasonable means of transport are not available, the employer must provide the employee with transport home, or pay the employee at the overtime rate for the time reasonably occupied in reaching home.

Penalty rates for ordinary hours on weekends and public holidays

For day workers, where an agreement is reached between the employer and the majority of employees (or with an individual employee) to treat hours worked on Saturdays and Sundays as ordinary hours, working those hours will require the employer to pay at the following rates:

  • For work done between midnight Friday and midnight Saturday โ€“ 150% for each hour worked;
  • For work done between midnight Saturday and midnight Sunday โ€“ 200% for each hour worked.
  • For work done on a public holiday โ€“ 250% for each hour worked, with a minimum payment of three hours.

For shiftworkers the following rules apply:

Vehicle manufacturing employees

The rate depends on the type of shift worked (i.e. afternoon, night, continuous, non-continuous).

Shiftworkers working afternoon or night shifts on a non-continuous basis are entitled to be paid various rates depending on how their shifts are structured. The rates range from 125% the ordinary rate to 130% the ordinary rate.

Continuous shiftworkers

If employees are required to work those shifts on a continuous basis, they are entitled to be paid 112.5% of the ordinary rate for each hour worked. If work is performed between midnight Friday and midnight Saturday, the applicable rate is 125% of the ordinary rate for each hour worked.

If an afternoon or night shift is performed on a Sunday, a shift worker is required to be paid 200% of the ordinary rate for each hour worked. What amounts to a Sunday shift depends on various factors:

  • Any shift commencing before 10.45 pm on Sunday is considered to be a Sunday shift.
  • Any shift commencing at 10.45 pm OR between 10.45 pm and midnight on Sunday does not classify as a Sunday shift.
  • If the shift starts before midnight on a Sunday and extends into the Sunday, that entire shift is considered as a Sunday shift.

If an afternoon or night shift is performed on a public holiday, a shift worker is required to be paid 250% of the ordinary rate for each hour worked. The rules around what constitutes a public holiday shift are the same as those which govern what is meant by a Sunday shift.

Where there is a shift that is scheduled to end on a public holiday, and the next shift starts on the same public holiday, only the shift with the majority of its portion falling on the public holiday constitutes a public holiday shift.

Non-vehicle manufacturing employees

The rate depends on the type of shift worked (i.e. afternoon, night, non-successive, continuous, rostered).

Successive shifts

Shiftworkers working afternoon or night shifts on a successive basis are entitled to be paid 115% of the ordinary rate per hour worked.

Non-successive shifts

If they work those shifts, but on a non-successive basis (i.e. shifts that do not go on successively for at least 5 shifts, or 6 shifts for a 6-day workshop OR shifts that do not continue for at least 38 ordinary hours), they are entitled to be paid:

  • 150% of the ordinary rate for each of the first 3 hours; and
  • 200% of the ordinary rate for each hour thereafter.

Night shifts

Those who work on permanent night shifts (i.e. night shifts which go on for longer than 4 consecutive weeks OR non-rotating night shifts resulting in the employee having 1/3 of their time off night shifts in a given cycle) are entitled to be paid 130% of the ordinary rate for each hour worked.

Non-rostered shifts

If a shift worker is required to work on a shift other than a rostered shift, they are entitled to be paid as follows:

  • For continuous shift work โ€“ 200% of the ordinary rate for each hour worked;
  • For other shift work โ€“ 150% of the ordinary rate for each of the first 3 hours worked, and 200% for each hour thereafter.

Saturdays

Shift workers required to work on a Saturday are required to be paid 150% of the ordinary rate for each hour worked.

Sundays and Public Holidays

For work required to be done on Sundays or public holidays, they are entitled to be paid as follows:

  • For continuous shift workers โ€“ 200% of the ordinary rate for each hour worked;
  • For other shift workers โ€“
    • 200% of the ordinary rate for each hour worked on a Sunday;
    • 250% of the ordinary rate for each hour worked on a public holiday.

Annual leave

Annual leave is an entitlement provided under the National Employment Standards (NES). Permanent employees are entitled to 4 weeks annual leave (pro rata for part-time employees).

Extra week of leave for certain shiftworkers

The Award says that the following types of shift workers are entitled to an extra (5th) week of annual leave: โ€œa 7 day shiftworker who is regularly rostered on Sundays and public holidaysโ€ (i.e. a shiftworker that performs their ordinary hours on any of the 7 days of the week and regularly works Sundays and public holidays).

Conversion to hourly entitlement

The Award says employers can agree with the majority of employees in a specific workplace or section to change the annual leave benefit in the NES (i.e. 4 weeks of leave) into an hourly one (like 152 hours) for simplicity and administrative ease.

Payment for annual leave

While on annual leave, employees must be paid what they would have earned for their ordinary hours if they were not on leave. This includes:

  • Allowances, loadings, and penalties paid for all purposes of the award (e.g., first aid allowance);
  • Any applicable over-award payments.

However, the following payments are not included in annual leave pay:

  • Overtime;
  • Shift loadings;
  • Weekend penalty rates;
  • Special rates;
  • Reimbursement-type payments.

Annual leave loading

Employees are entitled to annual leave loading when taking annual leave. The loading is the greater of (but not both):

  • 17.5% of their ordinary rate of pay; or
  • the weekend penalty/shift work rates they would have received had they not been on leave.

Annual leave during shutdowns

If an employer intends to shut down all or part of its operations for an annual shutdown (e.g. at Christmas or New Year) a process needs to be followed to be able to direct a permanent employee to take annual leave as follows:

The employer must give the affected employees 28 daysโ€™ written notice of a temporary shutdown period, or any shorter period agreed between the employer and the majority of relevant employees;
An employee engaged after the notice is given, must be provided with written notice of a temporary shutdown period who would be affected, as soon as reasonably practicable;

If an employee has accrued the annual leave entitlement the employer may direct the employee to take a period of annual leave during the temporary shutdown period.

If an employee does not have sufficient annual leave accrued, it may be agreed between the employer and employee in writing for the employee to take leave without pay during part of the shutdown period they do have accrued annual leave to cover the period. The employee cannot be directed to take leave without pay without their agreement.

Excessive leave accruals

An employee is deemed to have an excessive leave accrual if the employee has accrued more than 8 weeksโ€™ paid annual leave (or 10 weeksโ€™ paid annual leave for a shiftworker entitled to the extra week of annual leave).

In such a situation the employer or the employee may seek to confer with the other and genuinely try to reach an agreement on how to reduce or eliminate the excessive leave accrual.

Excessive leave accruals: direction by employer that leave be taken

If an employer has sought agreement with an employee to reduce an excess leave accrual (and no agreement has been reached), the employer may direct the employee in writing to take one or more periods of paid annual leave in accordance with the following rules.

An employerโ€™s direction must meet all of the following:

  • it is of no effect if it would result at any time in the employeeโ€™s remaining accrued entitlement to paid annual leave being less than six weeks when any other paid annual leave arrangements are taken into account;
  • must not require the employee to take any period of paid annual leave of less than one week;
  • must not require the employee to take a period of paid annual leave beginning less than eight weeks, or more than 12 months, after the direction is given;
  • must not be inconsistent with any leave arrangement agreed by the employer and employee;
  • an employee to whom a direction has been given may request to take a period of paid annual leave as if the direction had not been given, likely resulting in this direction ceasing to have any effect.

Excessive leave accruals: request by employee for leave

If an employee has sought to reach an agreement with the employer to reduce excessive leave accruals (but no agreement has been reached), they may provide written notice requesting to take one or more periods of paid annual leave.

An employee may only give notice if:

  • they have had an excessive leave accrual for more than six months; and
  • they have not been directed by the employer to take leave that would otherwise reduce their excessive leave balance.

The employeeโ€™s request must:

  • not result in their leave balance dropping below six weeks (after considering all other leave arrangements);
  • be for at least one week of leave;
  • propose leave to start no sooner than eight weeks and no later than 12 months from the notice date; and
  • not conflict with any existing agreed leave arrangements.

Please note: Employees must not request more than four weeks (or five weeks for shiftworkers entitled to the extra week of annual leave) of leave under this provision in a 12-month period.

The employer must grant leave requested in accordance with these conditions.

Annual leave in advance

The Award permits employees and employers to agree (in writing) for annual leave to be taken in advance of it accruing, and any annual leave owing to be deducted from an employeeโ€™s termination pay.

Cashing out of annual leave

Cashing out of annual leave (i.e. payment instead of taking the leave) is allowed, subject to the provisions of the Award. Each cashing out of a particular amount of paid annual leave must be the subject of a separate written agreement stating:

  • the amount of leave to be cashed out and the payment to be made to the employee for it;
  • the date on which the payment is to be made.

This must be signed by the employer and employee and, if the employee is under 18 years of age, by the employeeโ€™s parent or guardian.

The payment must not be less than what an employee would receive if they took the leave.

An agreement must not result in the employeeโ€™s remaining accrued entitlement to paid annual leave being less than four weeks.

The maximum amount of accrued paid annual leave that may be cashed out in any period of 12 months is two weeks.

The employer must keep a copy of any agreement as an employee record.

Other leave

The following leave is provided for under the National Employment Standards:

  • Personal/carerโ€™s leave โ€“ A full time employee is entitled to 10 days of paid personal/carersโ€™ leave per year. Where an employee is terminated by the employer and is reengaged within six months, they commence accruing this leave on top of their balance prior to termination. The entitlement is pro rata for part-time employees.
  • Compassionate leave – Two days paid leave per permissible occasion for permanent employees (eg death or life-threatening illness of immediate family or household member). Unpaid for casuals.
  • Parental leave and related entitlements โ€“ An employee who has served a period of 12 months is entitled to access the parental leave entitlement. This is a 12-month unpaid entitlement, which can be extended for another 12 months where the employer has no reasonable business grounds to refuse.
  • Community service leave โ€“ An employee is entitled to be absent from their employment to engage in an eligible community service activity. If a full-time employee has to attend jury duty during their normal work hours, the employer must pay them the difference between what they earn from jury duty and what they would have earned if they were at work. Where a part-time employee is required to attend for jury service and such attendance coincides with a day on which the employee would normally be required to work, the employer must pay them the difference between what they earn from jury duty and what they would have earned if they were at work.
  • Paid family and domestic violence leave โ€“ Employees (including casual employees) are entitled to 10 paid days of domestic violence leave in a 12-month period. This leave does not accrue and is available in full at the start of each 12-month period of the employeeโ€™s employment.

Public holidays

Public holiday entitlements are covered by the National Employment Standards (NES).

A permanent employee is entitled to be absent on a public holiday without loss of pay.
Where they work on a public holiday, the applicable overtime and/or penalty rates apply.

Substitution of public holidays

Employers and employees can agree to substitute another day for a public holiday or part-day public holiday.

Rostered day falling on a public holiday

If a full-time employeeโ€™s rostered day off falls on a public holiday (other than a public holiday on the weekend), the employer must provide the employee with one of the following:

  • 7.6 hours of pay at their ordinary hourly rate,
  • 7.6 hours of extra annual leave, or
  • a substitute (paid) day off on another weekday.

If an employee has credited time accumulated (as per clause 27.5), this time should not be used to take a day off on a public holiday.

If a public holiday is prescribed after an employee has already been notified that they will be taking a day off using credited time, the employee must be allowed to take that credited day off on another weekday instead.

However, this rule does not apply if the day off falls on a public holiday and is already part of the employeeโ€™s regular roster or agreed pattern of ordinary hours – clause 40.5(a) would apply in that case.

If the public holiday is a part-day public holiday, the employee’s entitlement applies on a pro-rata basis, depending on the number of ordinary hours that fall within the part-day holiday.

Consultation & dispute resolution

An employer who has made a definite decision to make major changes to their workplace that are likely to significantly affect their employees is required to notify them of such changes (Notification). 

They must commence discussions about these changes as soon as reasonably practicable after the decision has been made with employees and their representatives, explain their nature and expected effects, and consider any measures to avoid or reduce their adverse effects.

The Notification must be in writing and contain relevant information about the nature of the changes, the expected effect on employees and other matters likely to affect employees.

The requirement to consult (with affected employees and their representatives if applicable) also applies if the employer proposes to change an employeeโ€™s regular roster or ordinary hours of work. The employer must provide information about the proposed changes and invite the employees to give their views about the impact of the changes on them.

There are procedures which must be followed as part of any dispute resolution process between the employer and employee:

  • There must first be an attempt to resolve the dispute at the workplace through discussion;
  • If the dispute is not resolved, the parties must try to resolve it through discussion at higher levels of management;
  • If the dispute is still unresolved, it may be referred to the Fair Work Commission. The Commission is to follow a process that has been agreed to by both parties (e.g. mediation, conciliation). But, if the matter remains unresolved, the Commission may use any available dispute resolution method permitted by the Fair Work Act 2009.

Eligible employee representatives (e.g. shop steward, delegate, etc.) are entitled to take up to five daysโ€™ training leave with pay to attend courses that enhance the operation of the dispute resolution procedure. The maximum number of representatives entitled to this leave each year depends on the organisationโ€™s headcount.

The employee must give six weeksโ€™ notice (or shorter with the employerโ€™s consent) of their intention to attend such courses, which should be arranged to minimise adverse effects on the employerโ€™s operational requirements.

The taking of such leave counts as service for all purposes of this award.

Notice of termination

Employers must give permanent employees notice of termination in accordance with table below (except in the cases of serious misconduct):

Employeeโ€™s period of continuous service with the employer at the end of the day the notice is givenPeriod of notice
Not more than 1 year1 week
More than 1 year but not more than 3 years2 weeks
More than 3 years but not more than 5 years3 weeks
More than 5 years4 weeks

Although the Award does not say so specifically, the National Employment Standards (which override the Award) also provide that where an employee is at least 45 years old and has at least 2 years continuous service, an extra week should be added to all of the periods set out above.

Permanent employees are required to provide the same amount of notice as employers when they are resigning from their employment, but they do not need to provide the extra weeksโ€™ notice if they are 45 years or older.

Where an employee who is at least 18 years old fails to give the required notice, the employer can deduct no more than one weekโ€™s wages from the employee. However, a deduction cannot be made in cases where a shorter period of notice has been agreed upon.

Where the employer gives an employee notice that their employment will be terminated, the employee must be allowed to take reasonable time off without loss of pay to find another job.

Redundancy

If an employee is transferred to new duties with a lower rate of pay due to redundancy, the Award contains rules around the employer paying the difference in rates.

If an employee is given notice of termination due to redundancy, they may leave during the notice period and receive their redundancy pay. However, they are not entitled to be paid for the part of the notice period remaining after they ceased working.

An employee given notice of termination due to redundancy must be allowed time off without pay for up to one day per week of the notice period to find a new job. They may be required to provide proof of attendance at interviews.

Employers with 15 or more employees must pay the following amount of redundancy pay as set out in section 119 of the Fair Work Act 2009 (see further below for special rules for โ€œfurnishing employeesโ€ who will be entitled to redundancy pay even if the employer has less than 15 employees):

Redundancy pay period
Employeeโ€™s period of continuous service with the employer on termination Redundancy pay period
At least 1 year but less than 2 years 4 weeks
At least 2 years but less than 3 years 6 weeks
At least 3 years but less than 4 years 7 weeks
At least 4 years but less than 5 years 8 weeks
At least 5 years but less than 6 years 10 weeks
At least 6 years but less than 7 years 11 weeks
At least 7 years but less than 8 years 13 weeks
At least 8 years but less than 9 years 14 weeks
At least 9 years but less than 10 years 16 weeks
At least 10 years 12 weeks

Furnishing employees (i.e. employees who engage in manufacturing, installing, tuning or servicing of items such as furniture, clock case, lamp shades, etc.) of small business employers are entitled to redundancy pay if their employment is terminated due to the employer no longer requiring their job to be performed or due to insolvency or bankruptcy. 

The amount of redundancy pay is based on the employeeโ€™s period of continuous service and base rate of pay, and it can range from 4 to 8 weeks. See clause 46.4 of the Award.

Minimum pay rates

Clause 20.1 of the Award sets out the minimum rates of pay for adult employees.

Clause 21 of the Award sets out the minimum rates of pay for apprentices. Rates become higher as the apprentice progresses through the apprenticeship. There are various conditions for progression depending on the type of apprenticeship.

Clause 23 of the Award sets out the minimum rates of pay for cadets. The rates increase based on various progression conditions. These conditions vary depending on whether the employee is a technical cadet or a technology cadet.

Clause 24 of the Award sets out the minimum rates of pay for trainees. The rates increased based on various progression conditions. These conditions vary depending on the type of traineeship, how long they have left school and the skill levels attained.

Clause 25 of the Award sets out the minimum rates of pay for unapprenticed juniors (i.e. aged 16 to 20). Different rates apply for unapprenticed juniors who work in a foundry. These rates increase based on their age.

Higher duties

Employees may be asked to perform duties which are higher than their normal classification. Where they are required to do so for more than two hours in a day or shift, they must be paid the higher minimum rate for that day or shift.

Where an employee is required to work on duties carrying a higher minimum rate for two hours or less during a day or shift, they must be paid the higher minimum rate only for the time worked. If an employee works for more than two hours they must be paid the higher minimum rate for the entire day or shift.

Payment of wages

Wages must be paid weekly or fortnightly, unless employer and employees agree to three weekly, four weekly, or monthly payments. Wages must be paid by cash, cheque or electronic transfer into the employeeโ€™s bank account. If paid by cheque, the employer must have a facility available during working hours that allows the cheque to be cashed in.

If an employee is taking a day off that coincides with payday, they must be paid no later than the working day immediately following pay day. Wages paid by cash or cheque must be paid during working hours. If an employee is kept waiting for their wages on payday, they are to be paid at overtime rates for the time they are kept waiting.

When an employee’s ordinary hours in a week are greater or less than 38 hours and the employee’s pay is averaged to avoid fluctuating wage payments, credits accrue for each day worked over the daily average. No credit accrues for absences from work unless they are for annual leave, long service leave, public holidays, paid personal/carerโ€™s leave, workers compensation, paid compassionate leave, paid training leave, or jury service. 

If an employee is absent for part of a day due to reasons other than approved paid leave (like annual leave, long service leave, personal/carer’s leave, etc.), they’ll still accrue leave credit. However, the accrual will be proportionate to the time they were at work during that day. In simpler terms, they only earn leave for the hours they actually worked when they have a partial, unpaid absence.

When an employeeโ€™s employment is terminated, the employer must pay wages and other amounts due to the employee by the end of the next business day, and all amounts due under the NES within seven days, however a payment in lieu of notice must be made at the same time employment terminated.

Annualised salary/wage arrangements

Annualised wage arrangements can only be entered into for employees classified as a Supervisor/Trainer/Coordinator Level I or II.

It is generally accepted that outside of the awardโ€™s annualised wage provisions, employers can enter into annual salary agreements with employees, provided their salary sufficiently compensates for all award entitlements in each pay period (not just over a year) and a record is kept of all payments the employee would be entitled to under the Award.

Under the awardโ€™s annualised wage arrangement, an employer and a full-time employee may enter into a written agreement for the employee to be paid an annualised wage in lieu of specific award entitlements, such as penalty rates, overtime, allowances, and minimum rates.

The agreement must clearly state:

  • The annualised wage payable;
  • Which award provisions the wage satisfies;
  • How the annualised wage was calculated, including the assumptions made regarding penalties and overtime;
  • The outer limit of ordinary hours and overtime hours that the employee may work in a pay period or roster cycle without additional payment.

However, if an employee works any hours in excess of the outer limit amounts specified in the agreement, those hours must be separately paid for in line with the relevant provisions of the award. The employer must provide the employee with a copy of the agreement and keep it as a time and wages record. The agreement may be terminated by either party with 12 monthsโ€™ written notice, or by written agreement between the employer and employee.

The annualised wage must be no less than the amount the employee would have received under the award for the work performed over the year. The employer must also calculate the amount of remuneration that would have been payable to the employee under the award over a relevant period (usually 12 months) and compare it to the amount of the annualised wage actually paid to the employee. 

If the annualised wage is less than what the employee would have received under the award, the employer must pay the employee the amount of the shortfall within 14 days. The base rate of pay for employees on annualised wage excludes any incentive-based payments, bonuses, loadings, monetary allowances, overtime, and penalties.

Allowances

Schedule D of the Award sets out the various allowances which an employee may be entitled to. The rates payable for each allowance frequently change, and employers should check the Award for the current value.

Other rules that are specific to vehicle manufacturing employees

Payment of fees for vehicle manufacturing trainees

Where a vehicle manufacturing trainee who attends at least 80% of the approved course at a training institution in a year and passes the annual exams or receives a satisfactory report, the employer must reimburse all fees paid by the employee for that course in that year.

If the trainee passes or receives a satisfactory report for only some subjects taken in a year, the employer must reimburse a proportion of the fees. However, the employer is not required to reimburse fees for more than one year beyond the period prescribed by the training institution.

If a trainee is employed by more than one employer in a school year, the last employer is liable only for the fees proportional to the period of employment.

Ordinary hours of work โ€“ shift workers – vehicle manufacturing

These rules apply to continuous work shifts, where employees work on at least five consecutive days without interruption and are allowed up to six shifts per week.

The average weekly hours of continuous shiftworkers are 38 hours, including crib time, and must not exceed 152 hours in 28 consecutive days. Where there is an agreement between the employer and the majority of their employees, those hours can be done on a roster that exceeds the 28-day period.

There are rostering rules around continuous shiftwork including:

  • A shift will not last longer than 10 hours inclusive of crib time;
  • If an employer wants a shift to go longer than 8 ordinary hours, this can only be done with agreement between them and the majority of the employees in the relevant section;
  • An employee cannot be required to work more than 1 shift in any given 24 hour period;
  • Crib time is 20 minutes, and it counts as time worked;
  • Meal breaks do not form part of the ordinary hours.

For non-continuous shiftworkers, the rules are effectively the same, save for two differences:

  • There is no entitlement to crib time; and
  • They cannot be required to work more than 5 hours without a meal break.

Junior tracers in the technical field – vehicle manufacturing

This is a set of minimum wage rates for junior tracers in vehicle manufacturing in the technical field, based on their age. The rates vary from 54% of the V3 rate for those who are under 17 years of age, to 83% of the V3 rate for those who are 20 years old. These rates can be found at clause 53.1.

Accident pay – vehicle manufacturing

When and how accident pay is made

Where an employee sustains a work-related injury, they or their representative must notify the employer in writing of such an injury as soon as reasonably practicable. Accident pay is the difference between the weekly compensation paid under workersโ€™ compensation legislation and the amount that the employee would have received had they been on paid personal leave.

The employer must pay accident pay while the employee remains in their employment, but this payment does not need to be made during the first five days of incapacity, any paid leave, or the first three weeks of employment unless incapacity continues beyond that period.

Furthermore, accident pay for illnesses that develop gradually, or for injuries that recur, worsen, or accelerate, is only available if the employee has been with the employer for at least one month when their incapacity begins.

The maximum period of accident pay for one injury is 26 weeks, and payments for periods of less than one week will be calculated pro rata. If an employee returns to work on reduced hours or to perform modified duties, their accident pay will be reduced accordingly.

Casual employees are also entitled to accident pay, which will be calculated based on their average weekly ordinary hours over the previous 12 months. If they have been with the employer for less than 12 months, their entitlement to accident pay will be calculated based on average weekly ordinary hours over the period of employment with the employer.

When accident pay does not need to be made

Despite the above, where an employee receives a lump sum in lieu of weekly payments under the applicable workersโ€™ compensation legislation, the employer is no longer required to pay accident pay from the date they receive the lump sum.

Additionally, if a medical professional provides a certificate stating the employee’s condition and their fitness for work, or suggests suitable work, and the employer offers that work, but the employee refuses it or doesn’t start it, then their accident pay will stop from the day they refused or failed to start the work.

False declarations

All employees must declare all workersโ€™ compensation claims made in the previous five years upon commencement of employment, and false or inaccurate information could result in the employee forfeiting entitlement to accident pay. The employer is not obligated to take out insurance to cover the payment of benefits under this clause.

Overtime – vehicle manufacturing

The rules regarding time off instead of payment for overtime can be found above in the OVERTIME AND PENALTY RATES section of this summary. The following are rules in addition to the above provisions.

Crib breaks – vehicle manufacturing

For employees working more than 1.5 hours after ordinary hours, a crib break of 20 minutes must be allowed before starting such overtime, paid at the minimum hourly rate. For employees working more than 4 hours of overtime, they will be allowed a 20-minute crib break without deduction of pay.

Where a day worker works overtime on a Saturday, if the first crib break takes place between 10.00am and 1.00 pm, it needs to be paid at the minimum hourly rate.

Where an employee works 9.5 hours on a Sunday or public holiday, at the end of eight hours, they are entitled to a 20 minute crib break paid at the minimum rate.

Where they are required to work on a Sunday or public holiday for more than eight hours, they are entitled to a 20 minute paid crib break every four hours beyond the eight hours completed.

Meal allowance – vehicle manufacturing

In relation to overtime to be worked not on a Sunday or public holiday (unless the employeeโ€™s rostered ordinary hours fall on those days), meal allowances are payable to employees who are required to work overtime for more than 1.5 hours without prior notice.

An employer is not required to pay this allowance if they supply the employee with a meal or if the employee lives in the same locality as the workplace and can reasonably return home for meals.

If an employer does not advise their employee the day before (or earlier) that their overtime will be long enough to need more than one meal, then they have to either provide their employee those extra meals or pay them a meal allowance.

If an employee is notified that they will be working overtime and has provided a meal or meals but is not required to work overtime or is required to work less overtime than the amount advised, they will still be paid the meal allowance.

Break between shifts – vehicle manufacturing

Where overtime work is necessary, the employer needs to arrange the work in a way where the employee works a maximum of 14 hours in a 24 hour period, so that they have at least 10 consecutive hours off duty without loss of pay until recommencing work.

Where an employee is directed by their employer to resume or continue work without having had the required break time, the employee must be paid 200% of the minimum hourly rate until released from duty. The employee will then be entitled to be absent for 10 consecutive hours off duty without loss of pay for any ordinary working time occurring during such absence.

Call backs – vehicle manufacturing

Employees recalled to work overtime after leaving the premises will be paid for a minimum of three hoursโ€™ work at the appropriate rate for each time recalled. If the callback work takes less than three hours to complete, the employee cannot be made to stay for the full three hours, except in the case of unforeseen circumstances arising.

An employer is not required to pay the minimum engagement period if:

  • It is normal/customary for the employee to be recalled for periods not longer than 30 minutes to perform a specific job outside ordinary hours. Where this is the case, the employee is entitled to be paid for one hourโ€™s work for each time recalled; or
  • The overtime flows on continuously from the ordinary hours completed;

If an employee is called back to work for overtime, completes that task, and is then recalled for a second, separate segment of overtime that lasts less than three hours, this second recall does not automatically entitle them to another minimum payment of three hours.

Classifications

The classification structure and definitions set out in Schedule A and Schedule B apply to employees covered by the Award.

Schedule A sets out the classification structure and definitions for non-vehicle manufacturing employees, while Schedule B sets out the classification structure and definitions for vehicle manufacturing employees.

For employees covered by the National Metal and Engineering Competency Standards, the procedures for classifying such employees are set out in the National Metal and Engineering Competency Standards Implementation Guide. Finding the appropriate classification depends on the number of competency points assigned based on the Guide. Where competency requirements for a classification level are not expressed in points, the classification level of an employee is to be determined on the basis of the relative proportion of competencies in the National Metal and Engineering Competency Standards held and used by the employee.

These provisions do not apply to vehicle manufacturing employees.

Non-Vehicle Manufacturing Employees โ€“ Schedule A

Supervisors / trainers / coordinators

Depending on the level of responsibility, an employee classified as Supervisor/Trainer/Coordinator Level I, Level II, or Technical and will receive a corresponding pay rate of 122%, 115%, or 107% of the minimum rate paid to the highest qualified or highest paid employee they supervise or train, or the minimum rate applicable to their technical classification.

A Supervisor/Trainer/Coordinator-Level I is responsible for supervising the work of other employees and/or providing on-the-job training, while a Supervisor/Trainer/Coordinator-Level II is responsible for supervising and/or training Supervisor/Trainers/Coordinators-Level I. The following qualifications are required:

  • Supervisor/Trainer/Coordinator-Level I โ€“ AQF III qualification;
  • Supervisor/Trainer/Coordinator-Level II โ€“ AQF IV or V qualification.

Other employees

The table below does not apply to vehicle manufacturing employees – non-trades, post-trades, drivers, technicians/technical officers and supervisors/trainers/coordinators.

Classification levelsClassification titleMinimum training requirement
C1Professional Engineer Professional Scientist
NOTE: Professional Engineers and Professional Scientists in Level C1 are covered by the Professional Employees Award 2020
Degree
C2(b)Principal Technical OfficerAdvanced Diploma or equivalentand sufficient additional training so as to enable the employee to meet the requirements of the relevant classification definition and to perform work within the scope of this level.
C2(a)Leading Technical OfficerAdvanced Diploma or equivalentand sufficient additional training so as to enable the employee to meet the requirements of the relevant classification definition and to perform work within the scope of this level.
Principal Supervisor/ Trainer/Co-ordinatorAdvanced Diploma or equivalentof which at least 50% of thecompetencies are in supervision/training.
C3Engineering Associate/ LaboratoryTechnical Officerโ€”Level IIAdvanced Diploma of Engineering, Advanced Diploma of Laboratory Operations, or equivalent.
C4Engineering Associate/ LaboratoryTechnical Officerโ€”Level 180% towards an AdvancedDiploma of Engineering, 80%towards an Advanced Diplomaof Laboratory Operations, orequivalent.
C5Advanced Engineering Tradespersonโ€”Level IIDiploma of Engineeringโ€”Advanced Trade, or equivalent.
Engineering/Laboratory Technicianโ€”Level VDiploma of Engineeringโ€”Technical,Diploma of Laboratory Technology,or equivalent.
C6Advanced Engineering Tradespersonโ€”Level 1C10 + 80% towards a Diploma ofEngineeringโ€”Advanced Trade, or equivalent.
Engineering/Laboratory Technicianโ€”Level IV50% towards an AdvancedDiploma of Engineering, or 85%towards a Diploma of Engineeringโ€”Technical, 50% towards an Advanced Diploma of Laboratory Operations or 85% towards a Diploma of Laboratory Technology, or equivalent.
Q7Engineering/ ManufacturingTradespersonโ€”Special Class Level IICertificate IV in Engineering, orC10 + 60% towards a Diplomaof Engineering, 60% towards aDiploma of Laboratory Technology, or equivalent.
Engineering/Laboratory Technicianโ€”Level IIICertificate IV in ManufacturingTechnology, provided that theminimum experience required fora Technology Cadet has beencompleted, or Certificate IV inLaboratory Techniques, or 45%towards an Advanced Diplomaof Engineering, or 70% towards aDiploma of Engineeringโ€”Technical,45% towards an Advanced Diploma of Laboratory Operations, or 70%towards a Diploma of LaboratoryTechnology, or equivalent
C8Engineering/ ManufacturingTradespersonโ€”Special Class Level IC10 + 40% towards a Diploma ofEngineering, or equivalent
Engineering/Laboratory Technicianโ€”Level II40% towards an AdvancedDiploma of Engineering, or 60%towards a Diploma of Engineeringโ€”Technical,40% towards an Advanced Diploma of Laboratory Operations, 60% towards a Diploma of Laboratory Technology, or equivalent
C9Engineering/ ManufacturingTradespersonโ€”Level IIC10 + 20% towards a Diploma ofEngineering or equivalent
Engineering/Laboratory Technicianโ€”Level ICertificate III in Engineeringโ€”Technician, or Certificate III inLaboratory Skills, or CertificateIII in Manufacturing Technology,provided that the minimumexperience required for aTechnology Cadet has beencompleted, or 50% towardsa Diploma of Engineering, orequivalent
C10Engineering/ ManufacturingTradespersonโ€”Level IRecognised Trade Certificate,orCertificate III in Engineeringโ€”Mechanical Trade, or Certificate III in Engineeringโ€”Fabrication Trade, or Certificate III in Engineeringโ€”Electrical/Electronic Trade, or equivalent
Engineering/ Manufacturing Systems Employeeโ€”Level VEngineering Production Certificate III,or Certificate III in Engineeringโ€”Production Systems, or equivalent
C11Engineering/ ManufacturingEmployeeโ€”Level IV

Laboratory Tester
Engineering Production Certificate II, or Certificate II in Engineeringโ€”Production Technology, or Certificate II in Sampling and Measurement, or equivalent
C12Engineering/ ManufacturingEmployeeโ€”Level IIIEngineering Production Certificate I or Certificate II in Engineering, or equivalent
C13Engineering/ ManufacturingEmployeeโ€”Level IIIn-house training
C14Engineering/ ManufacturingEmployeeโ€”Level 1Up to 38 hours induction training. 
Note: employees under C14 will be reclassified to Engineering/Manufacturing Employee — Level II within a period of 3 months. (Schedule A.4.3(a)(iii) (or earlier where the employee is able to demonstrate the skills required for a higher level).

Vehicle Manufacturing Employees – Schedule B

Classification levelsClassification titlesDescriptions
V1Vehicle industry/production employeeLevel 1These employees are typically new hires whoundergo up to 38 hours of induction training thatcovers a wide range of topics related to their joband the company they work for. 
This training may include information aboutthe enterprise, conditions of employment, plantlayout, work and documentation procedures, etc.
V1 (cont.)After completing their induction training, Level1 employees are typically assigned to performroutine duties that are essentially of a manualnature and to the level of their training. They will also undertake structured training which will enable them to work at V2 Level.

They perform general labouring and cleaningduties, exercise minimal judgment, work underdirect supervision, and undergo structuredtraining.
Examples of roles at this level include assemblers,dipper solder or tin, degreaser, electroplater,garage attendant, etc.
V2Vehicle industry/production employeeLevel 2These employees have completed a CertificateI in Automotive Manufacturing or equivalent and are capable of performing work above and beyond the skills of a Level 1 employee, to the level of theirtraining.
They work under direct supervision, either individually or in a team environment, and canunderstand and undertake basic quality control/ assurance procedures.
Examples of the types of work at this level may include working on automatic or semiautomatic machines, assembling components using basic instructions, basic soldering, etc.
Examples of roles at this level include (but are not limited to) assemblers when not on the line, concrete workers, casemakers and/or repairers, dogmen, etc.
V3Vehicle industry/production employeeLevel 3These employees have completed either 75%of the units of competency of a Certificate II in Automotive Manufacturing Production -Passenger Motor Vehicle or 75% of the units of competency of a Certificate II in Automotive Manufacturing Production – Bus, Truck, and Trailer, or equivalent.
They perform work above and beyond the skills of a Level 2 employee within their skill level and training. They are subject to routine supervision.Examples of the types of work work at this level may include basic tracing and sketching skills, receiving, dispatching, distributing, sorting, checking, packing,documenting, etc.
V3 (cont.)Level 3 employees may also assist one or more tradespersons and perform welding that requires knowledge and skills above Level V2.
Examples of roles at this level include (but are not limited to air hammer operator, assembler and/or wirer tractor and assembler, band sawyer, boiler attendant or fireman, cold setter, etc.
V4Vehicle industry/production employeeLevel 4These employees have completed either 80% ofthe Certificate III in Automotive ManufacturingTechnical Operations โ€“ Passenger Motor Vehicleor 60% of the Certificate III in AutomotiveManufacturing Technical Operations โ€“ Bus, Truck,and Trailer, or equivalent.They perform work above and beyond the skillsof a Level 3 employee, using complex instructionsand procedures, coordinating work in a teamenvironment or working individually under generalsupervision, and being responsible for assuring thequality of their own work.
Examples of the types of work at this level may include usingprecision measuring instruments, machine setting,loading, and operation, rigging, inventory and storecontrol, licensed operation of materials handlingequipment, use of tools and equipment within thescope of basic non-trades maintenance, etc.
Examples of roles at this level include (but are not limited to) annealerand/or case hardener, assembler and/or wirerchassis, body maker, etc.
V5Vehicle industrytradespersonโ€”Level 1& Production systemsemployeeโ€”Level 5A Vehicle industry tradesperson – Level 1 is an employee who holds a trade certificate ortradespersonโ€™s rights certificate in one of the electrical/electronic, mechanical, or fabricationvehicle industry streams, or equivalent.
They work above and beyond an employee at V4 and to the level of their training, understandingand applying quality control techniques, exercising good interpersonal and communication skills,performing work under limited supervision, and performing non-trade tasks incidental to their Work.
Examples of roles at this level include (but are not limited to)automotiveelectrician, bodymaker, boilermaker, cabinetmaker, carpenter, etc.
V5 (cont.)A Vehicle industry production systems employee- Level 5 is an employee who has met therequirements of a Certificate III in AutomotiveManufacturing Technical Operations – Bus, Truck,and Trailer or a Certificate III in AutomotiveManufacturing Technical Operations – PassengerMotor Vehicle, or equivalent.
They work above and beyond an employee at V4and to the level of their training, understandingand applying quality control techniques, exercisinggood interpersonal and communication skills,
Examples of types of work performed at this level may include operating, setting up, and adjusting all productionmachinery in a plant, performing a range ofvehicle industry maintenance functions, andassisting in the provision of on-the-job training.
Additionally, approvingand passing first off samples, runningadjustments to production equipment, operatingall lifting equipment, and understanding andapplying computer techniques as they relate toproduction process operations.
V6Vehicle industrytradespersonโ€”LevelII & Vehicle industry/technicianโ€”Level IA Vehicle Industry Tradesperson – Level II is a skilled tradesperson who has met the requirements of an Engineering/Manufacturing Tradesperson Level II (classification level C9) or equivalent and has completed the necessary training and qualifications to work at a higher level than a Level V5 tradesperson.
They work under general supervision and use theirexpertise to perform tasks that require discretion, implement quality control techniques, provide guidance to other tradespeople, and utilize tradeskills relevant to their enterprise at a higher level than a Level I tradesperson.
A Vehicle Industry/Technician – Level I is a technician who has met the qualifications required for an Engineering/Laboratory Technician – Level I.
They perform routine technical tasks in drafting, planning, or other fields requiring technicalknowledge.
V7Vehicle industrytradespersonโ€”LevelIII & Vehicle industry/technician Level IIA Vehicle Industry Tradesperson – Level III is a highly skilled tradesperson who has completed the necessary qualifications required for anEngineering/Manufacturing Tradesperson – Special Class Level I.
They work above and beyond the Level V6 tradesperson, providing trade guidance andassistance, implementing quality control techniques, and working under limited supervisioneither individually or in a team environment.
They may perform high precision trade skills, operate CAD/CAM terminals for routine modifications to NC/CNC programs, and perform high voltage switching. A Vehicle Industry Technician – Level II is atechnician who has completed the necessary qualifications required for an Engineering/
Laboratory Technician – Level II.They work in technical fields, such as drafting, planning, or other tasks requiring technicalknowledge, as defined by the award.
They exercise judgment and skill beyond what is required at Level V6, but still work under thesupervision of technical or professional staff.
Vehicle industry technicianโ€”Level II is a technician who has met the requirements of an Engineering/Laboratory Technician โ€“ Level II (classification level C8), or equivalent.”
V8Vehicle industrytradespersonโ€”LevelIV & Vehicle industrytechnicianโ€”Level IIIA Vehicle Industry Tradesperson – Level IV is a highly skilled tradesperson who has completed the necessary qualifications required for anEngineering/Manufacturing Tradesperson – Special Class Level II or equivalent..
They work above and beyond the Level V7 tradesperson, providing trade guidance andassistance, implementing quality control techniques, and working under limited supervisioneither individually or in a team environment.
They may perform tasks such as working with complex machinery, instruments, and controls utilising electric/electronic, hydraulic/pneumatic, orcomputer numerical control techniques. They also work on complex electrical circuits and radio/communication equipment.
A Vehicle Industry Technician – Level III is a highly skilled technician who has completedthe necessary qualifications required for an Engineering/Laboratory Technician โ€“ Level III or equivalent.
V8(cont.)They work in technical fields such as drafting, planning, or other tasks requiring technical knowledge, as defined by the award.
They perform detailed drafting and planning tasks or technical duties requiring judgment and skill beyond what is required at Level V7, under the supervision of technical or professional staff.
A Vehicle Industry Automotive Developer – Level I is an employee who has obtained a Certificate IV in Automotive Manufacturing (Release 1) orequivalent.
V9Vehicle industrytradespersonโ€”LevelV & Vehicle industrytechnicianโ€”Level IVA Vehicle Industry Tradesperson โ€“ Level V is a highly skilled tradesperson who has completed the necessary qualifications required for an Advanced Engineering Tradesperson โ€“ Level I or equivalent.
They work above and beyond a Level V8 tradesperson, providing trade guidance and assistance, implementing quality control and work organisation techniques, and preparing technical reports.They exercise broad discretion within the scope of their level, operate lifting equipment incidental to their work, and perform non-trade tasks.
They may work on combinations of machinery and equipment that utilise complex electrical,electronic, mechanical, or fluid power principles,
or work on complex electronics, instruments, communications equipment, or control systemsthat utilise electronic principles and electronics circuitry containing complex digital and/or analogue control systems using integrated circuitry.
A Vehicle Industry Technician – Level IV is a highly skilled technician who has completedthe necessary qualifications required for an Engineering/Laboratory Technician – Level IV or equivalent.
They work in technical fields such as drafting, planning, or other tasks requiring technicalknowledge, as defined by the award. They perform detailed drafting, planning, ortechnical duties requiring judgment and skill beyond what is required at Level V8, under the supervision of technical or professional staff.
V10Vehicle industrytradespersonโ€”LevelVI & Vehicle industrytechnician Level VA Vehicle Industry Tradesperson – Level VI is a highly skilled tradesperson who has completed the necessary qualifications required for an Advanced Engineering Tradesperson – Level II or equivalent.
A Vehicle Industry Technician โ€“ Level V is a highly skilled technician who has completedthe necessary qualifications required for an Engineering/Laboratory Technician โ€“ Level V or equivalent.
They work in technical fields such as drafting, planning, or other tasks requiring technicalknowledge, as defined by the award.
They exercise judgment and skill beyond what is required at Level V9. 
A Vehicle Industry Automotive Developer – LevelII is an employee who has obtained a Diploma of Automotive Manufacturing (Release 1) or equivalent.
V11Vehicle industryengineeringassociateโ€”Level IA Vehicle Industry Engineering Associate โ€“ Level I is an employee who has obtained the necessary qualifications required for an Engineering Associate/Laboratory Technical Officer โ€“ Level I, or equivalent.
They engage in technical duties related to a specific field of engineering, laboratory, orscientific practice such as research, design,testing, manufacture, assembly, construction,operation, diagnostics, and maintenance ofequipment facilities or products, etc.
They also plan operations and/or processes,including staffing, material cost and quantities,machinery requirements, purchasing materials orcomponents, etc.
V12Vehicle industryengineeringassociateโ€”Level IIA Vehicle Industry Engineering Associate – Level II is an employee who has obtained the necessary qualifications required for an Engineering Associate/Laboratory Technical Officer – Level II, or equivalent.
They engage in technical duties that require exercising judgment and skills beyond what isrequired by a Vehicle Engineering Associate – Level I, such as drafting, planning, or other technical duties.
V12(cont.)Alternatively, they possess the skills of a Vehicle Engineering Associate – Level I in a technical field and exercise additional skills in a different technical field.
V13Vehicle industryleading technicalofficer & Principalengineering supervisor/trainer/co-ordinatorA Vehicle Industry Leading Technical Officeris an employee who has met the necessary qualifications to become a Leading TechnicalOfficer, as specified in the award, or equivalent..
They are capable of performing or coordinating work in multiple engineering, scientific, ortechnical fields as defined.Alternatively, they perform technical, engineering,or scientific duties that require the exercise of judgment and skill beyond what is required by a Vehicle Industry Engineering Associate – Level II.
A Vehicle industry principal trainer/supervisor/coordinator is an employee who has met therequirements of a principal Supervisor/Trainer/ Coordinator, or equivalent..
They possess sound knowledge of work health and safety, industrial relations, and communications processes.
They may be responsible for planning and deliveringtraining programs and directing the work of engineering/production employees in new workorganisation environments.
V14Vehicle industryprincipal technicalofficer.A Vehicle Industry Principal Technical Officer isa highly skilled and experienced professional who has completed the requirements of a PrincipalTechnical Officer, or equivalent.
They perform technical work that requires independent judgment, creativity, and a high degree of autonomy. They are responsible for coordinating projects andemployees, implementing programs, and providingtechnical guidance.
They operate within broad objectives without needing detailed instructions and can perform work at a highly complex and sophisticated levelin a particular technical field.
V15Vehicle industrysupervisor/trainer/co–ordinator Level I & Vehicle industry supervisor/trainer/co-ordinator Level II.A Vehicle industry supervisor/trainer/co-ordinatorโ€”Level I is an employee who is responsible for supervising other employees and providing structured on-the-job training.
A Vehicle industry supervisor/trainer/co-ordinatorโ€”Level II is an employee who is responsible for supervising and training Level Itrainers/supervisors/coordinators
D1Vehicle industrydriverโ€”Level IAn employee at this level is a driver of vehicles with a Gross Vehicle Mass (GVM) between 8 and 11 tonnes.
D2Vehicle industrydriverโ€”Level IIAn employee at this level is a driver of vehicles with a GVM of 12 tonnes or greater.
D3Vehicle industrydriverโ€”Level IIIAn employee at this level is a driver of articulated vehicles up to 25 tonnes.
D4Vehicle IndustryDriverโ€”Level IVAn employee at this level is a driver of articulated vehicles over 25 tonnes.

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