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Effective 15 October 2015
From 15 October 2015 accident pay provisions are likely to be re-introduced into a number of Modern Awards.
What is accident pay?
Accident pay is a type of ‘make up pay’ required for the purpose of paying employees the difference between workers compensation payments (from your insurer) and their usual rate of pay. This is payable in the case where employees have sustained a workplace injury or illness which prevents them from returning to work.
Previously the Fair Work Commission (FWC) had confirmed that accident pay (which was preserved as a transitional employee entitlement from pre-modern awards) would cease from 31 December 2014. Not happy with this position, the Unions made an application to the FWC for to insert accident pay provisions back into some modern awards and the FWC agreed that it should be re-introduced into a limited number of awards (set out below).
The exact obligations for accident pay will vary from award to award and interested parties have been invited to make submissions in relation to the terms of particular awards.
The FWC initially indicated that the variations to awards would become operative on 15 October 2015. However, some parties have delayed making submissions or have introduced new issues in relation to the introduction of accident pay. Therefore there may be some delay.
What should I do?
If you are covered by one of the awards listed below and have any employees currently on leave due to an injury in the workplace or have a workplace accident in the future , please contact our advice line on 1300 651 415 for further guidance and an update on the position with accident pay after 15 October 2015.
Awards which will have accident pay
Please note that the Air Pilots Award and Black Coal Mining Industry Award already contain accident pay provisions.